Saturday, 17 December 2016

REIT History: AIMSAMP Capital Industrial Reit

AIMSAMP Capital Industrial Reit is the 2nd largest of my REIT counters.  I dug out history of the Reit from the Internet and I am particularly interested on its placements and rights issues in the past.

Apr 2007:
- IPO at $1.20 as Macarthurcook Industrial Reit, with 12 properties in the initial portfolio
- End 2007: 15 properties. Unit price: $0.97
(20% decline from IPO price)

2008:
- Increased number of properties since IPO to 21
- Global Financial Crisis
- End 2008: 21 properties. Unit price: $0.22
(Perhaps expanding too aggressively, MI Reit faced escalating debt issues compounded by GFC.  Crashed 82% from IPO price just one year ago)

2009:
- Cambridge Industrial Trust sought to take over control of MI Reit. The move blocked by MAS because of potential conflict of interest issues
- Recapitalisation of MI Reit with Private Placement at $0.28
- 2 for 1 Rights at $0.159
- MI Reit acquired by AIMS Financial Group and AMP Capital
- Name changed to AIMSAMP Capital Industrial Reit
- End 2009: 22 properties. Unit price: $0.19 

2010:
- 7 for 20 Rights at $0.155
- End 2010: 27 properties. Unit price: $0.21

2011:
- Private Placement at $0.1976
- Private Placement at $0.205
- 5 to 1 unit consolidation
- End 2011: 26 properties. Unit price: $0.91
(Not very clear whether one or two private placements?)

2012:
- End 2012: 25 properties. Unit price $1.44

2013:
- Private Placement at $1.60
- End 2013: 25 properties. Unit price $1.38
(My maiden purchase into the Reit at $1.70. Attracted by the high yield, I went in too high and the counter was in the red by year end) 

2014:
- 7 for 40 Rights at $1.08
- Acquired Optus Centre in Australia
- End 2014: 26 properties. Unit price $1.42
(I took up the rights and subscripted to extra units) 

2015:
- End 2015: 26 properties. Unit price $1.38

2016:
- Current price (16/12): $1.27 
(The unit price has come down below $1.30 after the rate hike)

Quite a checkered history for this Reit.  As I did not follow MI Reit in its early days, the early history may not be complete or accurate.  Someone in the know please correct my error(s).

If I was in Singapore at MI Reit's IPO, most likely I would buy into MI Reit then.  Don't really know if can breakeven now if I got in at IPO?  I have quite a few toxic IPOs over the years, e.g., CitySpring (now Keppel Infra Tr), Yellow Pages, HPH Trust and Rickmers.

I like AIMSAMP Capital Industrial Reit for its high yield and its "off-sync" dividend payment months (3-6-9-12) to the common 2-5-8-11 for other REITS 

I have a high risk appetite and tolerance and AIMSAMPI Reit is part of my higher risk holdings.  Hope this is a phoenix rising from the ashes.

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