Stenprop is a Guernsey-registered UK real estate investment trust (REIT), which is transitioning into a specialist in the UK multi-let industrial (MLI) property sector. It aims to be the UK's leading provider of space for SMEs through the development of a serviced industrial space model, driven by cutting-edge technology.
As at 6 June 2018, the Company’s real estate portfolio comprised an interest in 77 properties valued at £703 million, with 46% by value in the UK and the remainder in Germany and in Switzerland. In line with its strategy to focus on the UK MLI sector, the MLI portfolio is expected to significantly increase over time as Stenprop pursues further acquisitions in this sector and makes disposals of its non-core assets.
No new capital was raised as part of the listing as Stenprop intends to sell all of its non-MLI assets and use the proceeds to partly invest in additional UK MLI assets and partly to reduce bank debt to a loan-to-value ratio of less than 40% by 31 March 2020.
Stenprop was advised by Numis Securities Limited, Bryan Cave Leighton Paisner, BDO and Carey Olsen. The Company’s shares will continue to trade on the Main Board for listed securities on the Johannesburg Stock Exchange, where Stenprop currently has a primary listing.
Paul Arenson, CEO of Stenprop, commented: “We are delighted to be here to celebrate our listing on the Specialist Fund Segment of the LSE. This is an important step in the company’s ambition to become the leading MLI business in the UK.
Following our strategic decision to reposition Stenprop into a focused UK MLI business and to convert to a UK REIT, the board considered that Stenprop would be better placed to achieve its strategic objectives if it pursued a listing of its shares on the LSE. With the portfolio and management team based in the UK we are confident that access to additional investors including, in particular, UK investors focused on specialist income funds, should improve liquidity in the Company’s shares and provide further access to equity capital, both of which will be beneficial to the strategic aims of the Company, and should add value to shareholders over the medium to long term”.