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Investor Presentation
August 2014
All figures as at end of Q2-2014, unless otherwise stated
Outline
2
1. Egypt Macroeconomic & Real Estate Sector Overview
A. Egypt Macro Economic Update
B. Egypt Real Estate Update
2. Introduction & Corporate Updates
A. SODIC Overview
C. 2014 Corporate Strategy
D. 2014 Achievements & Targets for H2 2014
F. Capital Increase Mechanics
3. Land Bank & Launched Projects Profile
A. Land Bank Location & Utilization
B. Launched Projects’ Highlights
C. New Acquisition: 301 Acres
D. Westown & Eastown Updates
5. Annex
A. Egypt Macroeconomic Indicators
B. Board of Directors and Executive Management
C. Shareholder Structure & Share Performance
D. Awards
4. SODIC Operational & Financial Overview
A. Sales Performance & Unrecognized Revenues
B. Launched Projects’ Profitability
C. Execution & Delivery
D. 2014 H1 Vs. 2013 H1
B. Organizational Strengths
E. Share Performance Vs. EGX 30
Egypt Macroeconomic & Real Estate Sector Overview
3
Egypt Macroeconomic Update1
Planned government initiatives to address long-standing economic issues
4
The government has
embarked on a
number of schemes
that aim to address
economic issues
These initiatives are
expected to have
positive effects on
macro economic
indicators
Recent Government Initiatives
Subsidy Reforms In July 2014, the Egyptian government kicked off a
much-awaited fiscal consolidation, aiming to bring the fiscal deficit towards a sustainable path and revive economic growth. The approved measures constitute:
Rationing wide-range of fuel products Re-pricing of electricity and outlining a five-year
plan for phasing out fuel subsidies Increasing sales taxes on tobacco and alcohol
1
Item Annual Saving
(EGP Bn)
Diesel 16.8
Gasoline 8.9
Fuel Oil 4.0
Natural Gas 3.7
Electricity 8.5 Cigarettes &
Alcohol 4.5
Total 46.4
% of GDP 2.0%
Mortgage Finance 2
The government is stimulating private and household credit through the launch of an EGP 10bn programme by CBE to promote mortgage finance
The programme would lend banks funds at preferential rates for maturities of more than 10 years that would be utilized in the financing mortgage for low and middle income families Suez Canal & New Road Network
The government recently announced to build a new Suez Canal alongside the existing 145-year-old historic waterway with an estimated cost of USD 8.2 bn (including building underground tunnels) to be completed in five years. The new canal is set to boost annual revenues to USD13.5 bn by 2023 from USD5.2 bn in FY12/13
3,600 KM of new roads to be constructed at a cost of EGP 36 billion
On-going Talks With Bretton Woods Institutions
President Al-Sisi has decided to renew talks with the IMF & World Bank and hired western advisors to advise on policy decisions
Macroeconomic Indicators
Real GDP Growth 5.2%
1.8% 2.2% 2.1% 2.3%
3.3%
4.5%
09/10A 10/11A 11/12A 12/13A 13/14E 14/15F 15/16F
Budget Deficit (%GDP)2
8.1%
9.8% 10.8%
13.7%
12.0% 12.0%
10.4%
09/10A 10/11A 11/12A 12/13A 13/14E 14/15F 15/16F
Inflation 12%
11%
9%
7%
10% 10%
8%
09/10A 10/11A 11/12A 12/13A 13/14E 14/15F 15/16F
1 Source: IMF, Bloomberg, Reuters, EFG Hermes Research 2 Expected budget deficit is based on press release by the Ministry of Finance
“The World Bank Group (WBG) is preparing to form a new partnership strategy with Egypt to guide the group’s engagement in the country for the next five years. The group stated that the Country Partnership Strategy (CPS) was launched on Wednesday in collaboration with the Egyptian government.”
DNE, March 8, 2014
3
4
Egypt Real Estate Market Update1
Young population to fuel growth
5
A large and growing
population is Egypt’s key
asset compared to its MENA
counterparts
Unlike aging economies,
Egypt is likely to exhibit a
strong working age
population growth over the
coming period
Market Drivers Remain Intact
Population & Growth Vs Arab States
1 Source: CAPMAS, IMF, US Census, Central Banks of respective countries and Industry reports; Data as at 31/12/2013.
Demographics
Annual Marriages (‘000) Mortgage Penetration
Egypt benefits from an
attractive demographic
profile due to its large and
growing young population
The increasing marriage rate
and urbanization levels have
resulted in an increased
demand for housing units,
With significantly below
average leverage levels, the
sector is expected to witness
enhanced demand especially
when considering recent
government initiatives
relating to mortgage
financing
87
33 32 28 25
5 4 3 2
2% 1% 1% 2%
3%
5%
3%
2%
6%
-
10
20
30
40
50
60
70
80
90 Population (mn) Growth (%)
World Average: 1.2%
21%
22%
20%
13%
11%
7%
4%
2%
21%
23%
19%
13%
11%
7%
4%
2%
25% 15% 5% 5% 15% 25%
<10
10-20
20-30
30-40
40-50
50-60
60-70
>70
Female Male
Young population
(around 60% below the age of 30)
778
848
898
933
2009 2010 2011 2012
2% 2%
5% 6% 6%
8%
15%
17%
Egypt Real Estate Market Update1
Key fundamentals
6
The real estate market is
underpinned by real demand
and limited speculation with
a large supply-demand gap
Market Characteristics/Trends
1 Source: Jones Lang LaSalle, EFG Hermes research, CAPMAS, American Chamber.
Most of demand seen in new
urban communities /
satellite cities (e.g. East-
Cairo, West-Cairo, Shorouk,
etc)
These cities offer high quality
newly constructed homes
within a fully functional
community, offering
necessary amenities and
facilities (e.g. schools,
shopping centers and
medical centers) and
supported by emergence of
new business districts (e.g.
Smart Village near 6th of
October)
Market characterized by a small number of densely populated cities, with low urbanization. Cairo is one of the most dense metropolitan areas in the world
Sales are supported by a large population with an increasing number of marriages to spur demand
Strong pent-up demand still not matched by equal supply (estimated at not less than 200k units annually)
Inefficiencies of public sector players led to emergence of a number of mega private sector developers
Summer 2014 witnessed an increasing demand for secondary homes
Gross Pre Sales for Key Developers (EGP million) Vs. FX Rate
7
Introduction & Corporate Updates
SODIC Overview
A fully integrated real estate developer specialized in building complete communities IPO in 1996, non-family owned, largest shareholder owning 13% Diversified Launched Project Portfolio:
6 residential projects comprising 4,400 units 2 retail projects comprising 43,000 sqm of BUA 1 commercial project comprising 70,000 sqm of BUA
In-House execution capabilities: Design, Construction Management, and Facility Management
- I
Brief Overview
SODIC, Egypt’s trusted developer, emerging stronger post revolution
MCap of some EGP 3.5 billion, with a diversified shareholder base
9 launched projects with over 5,000 residential units valued at EGP 11 billion
SODIC’s Egypt raw land bank expected to generate some EGP 17 billion of residential sales
YTD stock performance of +89%
8
Company Highlights
EGP 10.2 billion1 4,542 units contracted
Contracted Sales
1,705 units delivered1 Delivering seven projects in West Cairo, with one project in East Cairo
Delivery
EGP 4 billion of receivables EGP 5.1 billion of unrecognized revenues
Backlog
3.6 million sqm of undeveloped land Newly acquired plot of 1.26 million sqm in New Cairo
Egypt Land Bank
EGX/EGM approved EGP 1 billion capital increase to existing shareholders 3 debt facilities secured with a value of EGP 2.2 billion
Funding
1 Since inception; Excluding Beverly Hills Project.
Organizational Strengths
Ability to take a project from concept to delivery Depth of in-house capabilities including:
- Market research - Product Development/ Design - Finance - Licensing & permitting - Sales - Procurement & Construction Management - Delivery & Operation
A developer building on the positives and tackling the challenges
Fully Integrated Developer
Strength Description
Proprietary, Honed Process Efficient management of input from all stakeholders
achieving optimal business cases Emphasizing on coordination between project
development and sales team Efficiencies & capabilities to standardize processes,
evolve & optimize products
Process Driven Development
Successful navigation through different market conditions including:
- Boom (2006-2008) - Global Recession (2009) - Revolution Year (2011) - Post Revolution, Political/Economic Unease - Revolution Continues (2013) - Stability (Post presidential elections - 2014)
Full Cycle Experience
9
Po
st-r
ev
olu
tio
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tra
teg
y s
hif
t o
f la
un
chin
g m
ark
et-
tail
ore
d p
roje
cts
New market needs Extensive interviews/focus groups with
potential customers Competition Research/ Sales Analysis Review of SODIC’s experience during the
2009 recession
Assessments
4 key elements to target “Upper Middle Income Class” Affordability Functionality Exclusivity Safety
Outcomes
New products with ticket price of EGP 0.8 – 2.8 million Efficient structural design & construction Higher densities Smart design with unique features
Actions
Unparalleled success of WTR I - X Some EGP 4 billion of sales1 Higher margins Quicker process Market leader
Results
1 Includes all phases in WTR & ETR projects since launch to 30/6/2014, some 2,430 units.
2014 Corporate Strategy
With a raw land bank of 3.6 million sqm1, SODIC is perfectly positioned for growth
10 1 Excluding 1.56 million sqm in Syria. 2 Includes EGP 1.1 billion of land payments
Development
SODIC Corporate Business Units Strategic Initiatives
Sales & Marketing Execution Finance
Develop functional, affordable, community centric products
Increase densities to improve land utilization
Shift from primarily residential to mixed use developer
Develop world class master plan for the 301 Acre plot
Maintain “Market Leader” Positioning
Increase the SODIC Family of Brands
Interaction with development ensuring best product offering
Prepared team for EGP 1.2 billion of new launches ( H2 2014)
Spend EGP 1.9 billion in 20142
Deliver 441 units (310 West, 131 East)
Maintain reputation for delivery ahead of schedule
Bolster in house capabilities to reduce construction costs
Preparations for swift execution post 301 plot launch
Swift drawdown to support timely execution
Finalize securitization transaction (EGP 150 million)
Improve internal book keeping to eliminate future surprises
Conclude EGP 1 billion capital increase (October 2014)
Leveraging platform; Bringing to market some EGP 17 billion of new residential inventory
Expected Outcome (3-6 Years)
1
Collect some EGP 4 billion of receivables from existing sales; Maintain collection rate of over 90% 2
Timely execution spending, delivering more than 8,000 residential units 3
Positive free cash flows to equity post 2016 4
Increase recurring income portfolio (retail + commercial) 5
Facility Management
Maintain best in class
customer service experience
Enhance value added services
Penetrate secondary homes & secondary city markets 5
2014 Achievements – Monthly Timeline & Targets for H2 2014
Securitization Signature: first real estate securitization transaction with 2 leading local banks (EGP 150 million) 3 mega villas sold in Allegria worth EGP 52 million; 27 offices sold in The Polygon worth EGP 79 million
January
March
April
May
June
February
July
Month Description
Amicable Settlement with Solidere International (SI) unlocking 250,000 sqm of land in the heart of Westown, expected to generate some EGP 1.3 billion of sales
Westown Residences Phase X launch worth EGP 531 million selling out SODIC West Syndication Drawdown: Tranche A worth EGP 330 million, refinancing 3 existing facilities
Eastown settlement with Ministry of Housing for an additional payment of EGP 900 million over 7 years unlocking some EGP 5 billion of residential inventory
Financial cleansing: reversal of non performing land sales & fully impairing Syria’s investment (FY 2013)
Ripplewood acquires 9.4% stake in SODIC (previously owned by EFG) Eastown Residences (ETR) Phase V launch worth EGP 246 million selling out
301 Acre award letter received from New Urban Communities Authority ETR Phase VI launch worth EGP 359 million selling out EGX approves capital increase subject to EGM approval
Signature of EGP 950 million loan with AAIB (301 Acre); EGP 255 million drawdown in less than 2 weeks EGM approves EGP 1 billion capital increase to existing shareholders Signature of EGP 300 million loan with CIB (SI Blocks); Preliminary indications for positive ratings for Egypt’s
first real estate securitization issuance
11
Targets for H2 2014
Successful closure of the EGP 1 billion capital increase Launch EGP 1.2 billion of residential inventory across 3 projects Deliver some 210 units Swift drawdown to support timely execution (EGP 1.2 billion of undrawn facilities)
Share Performance Vs EGX 30 (Rebased)1
SODIC’s achievements reflected positively on the stock performance, YTD +89%
12 1 As at 12/8/2014.
Q1 2014
SODIC Quarterly Performance: +14% EGX 30 Quarterly Performance: +15%
Solidere settlement WTR Phase X launch Syndication drawdown
Q2 2014
Quarterly Performance: +28% EGX 30 Quarterly Performance: +5%
Eastown settlement 301 Acre award letter EGX approves capital
increase ETR Phase V/VI launch Ripplewood acquires 9.4%
July/Aug 2014
+24% +14%
EGM approves capital increase
301 Acre loan & down payment
CIB loan Positive Q2 results
80
100
120
140
160
180
200
2-J
an
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9-J
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30
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4
6-F
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13
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4
20
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4
27
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b-1
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6-M
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13
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4
20
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4
27
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r-1
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3-A
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14
10
-Ap
r-1
4
17
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r-1
4
24
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r-1
4
1-M
ay
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8-M
ay
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4
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-14
EGX SODIC
Capital Increase Mechanics
Capital increase through rights issue to existing shareholders
Offer Type
Offer Size
Pre/Post No. of Shares
Pre/Post Paid In Capital
Offer Price
Trading of Rights
Use of Proceeds
Item Description
Rights will be tradable on EGX
EGP 1 billion, divided into 250 million shares
90,672,985 / 340,672,985
362,705,392 / 1,362,705,392
EGP 4.0 (Par), excluding issuance fees
Expanding the company’s land bank through Recently awarded 301 acre plot in New Cairo Mansoura Mall (and/or similar opportunity)
Proceeds will not be used to pay the remaining Eastown settlement amount
13
Subscription Ratio
275.7%
Benefits of offering
Land bank growth; enhancing company valuation Adding a recurring income component Reducing share price/ enhancing liquidity Availability of tradable rights minimizes dilution risks for non-participating shareholders
Land Bank & Launched Projects Profile
14
Land Bank Location & Utilization
Diversified prime locations, unencumbered, low-cost base, & 54% utilized
Location
Sheikh Zayed/Sixth of October
Utilized Raw Description
5.75 mln sqm 1.78 mln sqm1 Corner of Dahshour Road & Cairo-Alex Road
New Cairo 0.42 mln sqm2 1.82 mln sqm Eastown & 301 Acre Plot
Syria - 1.56 mln sqm Proportionate to ownership – Fully impaired
Total 6.17 mln sqm 5.16 mln sqm
Egypt Land Bank
Advantages
Low Cost Base3 Prime Locations
Located in premium city spots at East/West Cairo
Average cost of USD 75 per sqm of gross land
54% utilized of total land bank
1 Consists of 525,000 sqm in Sheikh Zayed & 1,260,000 sqm in KM 42 Cairo-Alex Road (El Yousr land/Esplanade West). As at 30/6/2014. 2 Kattameya Plaza Project (126,000 sqm) and ET Residences Phases I-IV (291,754 sqm). As at 30/6/2014. 3 For Egypt land bank only.
15
Dispute Free
Egypt land bank is free of any legal encumbrances
Since 2006 SODIC successfully launched 9 projects; diversified project portfolio
Project Description
Residential single-family units Launched 5 phases 1,254 units
High-end apartment buildings Includes hotel, retail and commercial buildings 133 units
Various types of residential units Launched 10 phases 1,391 units
Upper middle class apartment buildings Includes a retail complex 466 units
Integrated mixed-use office park Sales to lease ratio of 77% 250 offices (office space ranging from 70 sqm to 200 sqm )
Retail stretch mall offering multiple shop categories and eateries over seven zones Sales to lease ratio of 78% Launched 2 phases comprising 84 units
Entertainment retail complex 100 % lease 47 units
Various types of residential units Launched 6 phases 1,123 units
16
Launched Projects Highlights
Allegria
Forty West
Eastown Residences
Kattameya Plaza
The Polygon
The Strip
WT Hub
Westown Residences
New Acquisition: 301 Acre Plot
SODIC envisages a “hip/trendy,” upscale suburban village, targeting young affluent families
Project Brief Renders
Location: New Cairo Adjacent to Emaar’s Mivida
Gross Land Area: 1.26 million sqm Development Vision: A relaxed suburban development with an
active social center. The development will offer a variety of sports activities with a special focus on kids entertainment facilities.
Master Planning: Houston, USA based SWA
Project Financials (subject to master plan finalization): Residential land area: 1.03 million sqm Residential sales: EGP 9.5 billion Residential development cost: EGP 5.8 billion1 Sales time line: 5 years Starting delivery dates: H2 2018
17 1 Includes the total land cost of EGP 2.9 billion.
Surrounding Projects Location
Westown & Eastown Update
Cairo’s top destinations
Project Status
18
Master Plan
We
sto
wn
Gross Land Area: 1,223,620 sqm Launched Area: 718,334 sqm Non Launched Residential Area: 339,389 sqm Non Residential Area: 165,897 sqm
Contracted Units: 3,029 units Launched Projects: Allegria, Forty West, The Polygon,
Westown Residences (Phases I to X), Westown Retail Hub Contracted Sales: EGP 7.6 billion
Development Time Frame: Ends January 2017 Future Residential Launches: EGP 2.5 billion
Ea
sto
wn
Gross Land Area: 857,964 sqm Launched Residential Area: 292,718 sqm Non Launched Residential Area: 406,687 sqm Retail/Commercial Area: 158,559 sqm
Number of Residential Units: approx. 2,550 units Launched Phases: Eastown Residences Phases I to VI
Contracted Sales: EGP 1.7 billion (1,073 units)
Development Time Frame: Up to 5 years (from April 2014) Future Residential Launches: EGP 3.5 billion
SODIC Operational & Financial Overview
19
Sales Performance & Unrecognized Revenues1
FY 2014 is expected to be slightly higher than FY 2013
2013
Some EGP 10.2 billion of net sales since 2008 of which 50% yet to be recognized
Annual Net Sales (EGP Million)
20
1 Monthly Sales from January 2008 to June 2014. Unrecognized revenues accounting for EGP 5.1 billion as at 30th of June 2014. 2 Actual Contracted Net Sales as at 30th of June 2014. 3 Expected contracted net sales in H2 2014.
Launch of: • WTR phases 7, 8
& 9 • Eastown
Residences “ETR” phases 1 to 4 account to 50% of total sales
2,478
2008 2009 2010 2011 2012
Allegria Phase 1&2 launch
Some 650 Allegria units contracted
Launch of: • Allegria phase 3 &
4 • The Polygon • Forty West • The Strip
Cumulative Sales: EGP 2.7 Billion
Regular Operating Environment
Global Financial Recession
KP launch achieving EGP 250 million of sales
Cumulative Sales: EGP 4.6 Billion
Regular Operating Environment
Launch of: • Small offices in The
Polygon • Westown Residences
“WTR” Phase 1 Turmoil causing EGP
735 million in cancellations
Cumulative Sales: EGP 4.6 Billion
Jan 25th Revolution
Launch of: • Allegria phase 5 • WTR Phases 2 to
6 WTR achieved
sales of some EGP 1 billion
Cumulative Sales: EGP 6.2 Billion
Regular Operating Environment
1,884
849 1,839 1,619
6
June 30th Revolution
2014
Launch of: • WTR phases 10 • ETR phases 5-6
Expected to launch EGP 1.2 billion in H2 2014
15842
Regular Operating Environment
9623
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
Launched Projects’ Profitability
GPM of 36% on some EGP 9.6 billion of unit sales
Expected Lease Revenues (From Existing Launched Projects)
Sellable Inventory Profitability 1 Percentage Sold (Value)
21
1 All figures in EGP unless otherwise stated. 2 Expected gross profit margin, excluding NPV adjustments. 3 Unsold Allegria inventory amounts to EGP 204 mln (13 units), displaying an average price per unit of EGP 16 million. 4 Includes the investment cost of leasable assets.
Total Inventory
Development Cost4
Sold Inventory
Projects’ GPM 2
Project (EGP millions)
Allegria3
Polygon
Forty West
KP
WTR (I-X)
Total
4,387 2,731 4,183 38%
711 639 532 31%
588 495 374 33%
648 438 616 33%
2,233 1,304 2,169 42%
10,391 36%
Sold Unsold
95% 5%
75%
63% 37%
100%
97% 3%
92% 8%
Sales / Lease Ratio
100%
77%
80%
100%
100%
-
25%
ETR (I-VI) 1,824 1,337 1,716 27% 94% 100%
9,590
3%
6,944
750
-
200
400
600
800
-
20
40
60
80
100
120
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Cu
mu
lati
ve
Lea
se
Rev
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es
EG
P M
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on
An
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Rev
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es
EG
P M
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on
Polygon Forty West The Strip Westown Hub Cumulative Lease Revenues
34
57 79
84 93 96 99
102 105
Execution & Delivery1
SODIC delivered some 222 units during H1 2014 across 8 different projects, namely: Allegria, Kattameya Plaza, Forty West, The Polygon, The Strip, Casa ,WT Hub & WT Residences
Project Number of
Units Delivered
Units %
Delivered Investment
Cost2 %
Completion3 Delivery
Start Date Delivery End Date
1 All figures as at 30th of June 2014. 2 Investment cost represents the expected construction and land costs. Figures are in EGP millions. 3 Percentage completion represents the actual earned value, calculated on a weighted average basis per project phase. 4 Westown Residences Phase I shows an 86% development completion on a standalone basis. 5 CASA is a jointly owned project (80% Palm Hills subsidiary & 20% SODIC). SODIC owns 63 apartments in addition to its ownership stake.
Over 4,800 units under development (35% delivered) with an investment cost of some EGP 7.3 billion
Delivery Execution
22
Allegria
Kattameya Plaza
Forty West
WT Residences (I-X)
The Polygon
The Strip
WT Hub
Total
1,254 1,080 86% 2010 2,731 91%
466 346 74% 2013 438 97%
133 39 29% 2012 495 93%
1,391 71 5% 2013 1,304 32%4
250 102 41% 2013 639 79%
84 24 29% 2012 241 76%
47 2 4% 2014 66 90%
4,811 1,705 35% From 2010 to 2017 7,251 NA
2015
2015
2015
2017
2016
2015
2015
ET Residences (I-VI) 1,123 - - 2016 1,337 9% 2017
CASA5 63 41 65% 2013 NA 100% 2015
H1 2014 Vs H1 2013
Building on strengths
Item (in EGP mln unless otherwise stated)
H1 2014
23
H1 2013 Variance
%
Gross Contracted Sales
Net Contracted Sales
Net Contracted Sales From New Launches
Cash Collected
CAPEX1
Number of Units Delivered (units)
Value of Units Delivered
Gross Profit
Net Profit
1,674
1,584
1,831
1,641
-8%
-3%
Number of Units Sold (units) 716 928 -23%
979 997 -2%
38%
540 423 28%
223 212 5%
644 426 51%
232 146 59%
91 49 86%
Debt Raised/Secured 2,150 120 1692%
Cash at banks & on hand 762 370 106%
894 649
1 Includes EGP 167 million of land payments.
Annex
24
Egypt Macroeconomic Indicators1
Improving macroeconomic backdrop
25
Following the 30th of June
protests and the ouster of ex
president Morsi, several
Macro indicators showed
signs of improvement with
CDS spread dropping from an
alarming 900 bps and a drop
in 1 year T-bill yield
Macro risk receded with the
support package promised by
Saudi Arabia, UAE and
Kuwait. The aid received
pulled the breaks on further
devaluation of the EGP and
revered the constant
decrease in Egypt’s foreign
reserves
Recent Government Initiatives
Egypt Spot & 12 Months Non Deliverable Forward
1 Source: Bloomberg, IMF, CBE 2 Due to the Monetary Police Committee’s decision to raise overnight lending and deposits rate by 100 bps
CDS Spread (basis points)
9.1 8.3
7.1
Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14
Forward Spot 900
330
Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14
Post 30th June Protests Post 25th Jan Revolution Post Presidential Elections
1 Year T-Bill Yield (%) Dollarization (% of Total Deposits)
15.4%
12.4%
Jan-11 Jun-11 Nov-11 Apr-12 Sep-12 Feb-13 Jul-13 Dec-13 May-14
Due to MPC’s decision to raise lending and deposits
rate by 100 bps
2
22% 23%
20%
Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14
Stable FX Reserves (USD Billion)
35 33 30 28 27 27 26 25 24 22 20 18 16 16 15 15 16 16 14 15 15 16 15 15 14 14 13 14 16 15
19 19 19 19 18 17 17 17 17 18 17 17 17
Jan-11 Apr-11 Jul-11 Oct-11 Jan-12 Apr-12 Jul-12 Oct-12 Jan-13 Apr-13 Jul-13 Oct-13 Jan-14 Apr-14 Jul-14
Country Received Total
Pledged
USD 4.0 bn USD 6.9 bn
USD 8.6 bn USD 12.2 bn
USD 3.0 bn USD 4.0 bn
USD 15.6 bn
USD 23.1 bn
Incoming International Support Packages
Board of Directors and Executive Management
SODIC is one of the few companies in Egypt that is not family owned & managed
Board of Directors & Ownership Structure
Management with full economic cycle experience, successfully navigated global recession & revolutions
A development organization capable of monetizing land positions at optimal value
Diverse team assembled since 2006 with untapped capacity
Transitioned from entrepreneurial to corporate
Executive Management
Mr. Ahmed Badrawi
Chief Technical Officer
Eng. Shehab El Orabi
Chief Financial Officer
Mr. Omar El Hamawy
Chief Projects Officer
Mr. Hatem Halwagy
Chief Commercial
Officer
Mr. Ahmed Labib
Chief Projects Development
Officer
Mr. Basil Ramzy
Managing Director (Executive)
Dr. Hani Sarieldin Managing Director
(Executive)
Mr. Ahmed Badrawi
Chairman (Non-Executive)
26
Eng. Safwan Thabet
Mr. Shafik El Baghdady
Dr. Walid Abanumay
Mr. Sabah Barakat
Mr. Omar El Hamawy
Eng. Shehab El Orabi
Mr. Basil Ramzy
Member (Non-Executive)
Member (Non-Executive)
Member (Non-Executive)
Member (Non-Executive)
Member (Executive)
Member (Executive)
Member (Executive)
Shareholder Structure & Share Performance
Shareholders Structure
A fragmented shareholding structure with the largest shareholder owning 13%
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1 As at 12th of August 2014. Closing price EGP 42.75 2 From 2 Jan 2012 to 2 Jul 2014, rebased.
Share Information1
No. of Shares Outstanding 90.68 million
Market Capitalization EGP 3,877 million
Market Capitalization USD 542 million
Index Inclusions EGX 30 EGX 100 MSCI IMI
Symbol EGX: OCDI.CA Reuters: OCDI CA Bloomberg: OCDI EY
52 weeks High/Low (EGP): 42.75/13.9
YTD Share Performance 88.9%
30 Months Share Performance : SODIC Vs. EGX (Rebased) 2
1%
17%
45%
24%
13%
ESOP
High Net Worth
InternationalInstitutions
Local Institutions
Retail
12%
9%
5%
5%
3%
13%
3% 2% 1%
47%
Olayan Group
Ripplewood
Al Rashed Group
EFG Hermes
El Maged Company
Abanumay Family
Abd El Monem AbdAlrahman EL RashedNORGES BANK
ESOP
Free Float
0
50
100
150
200
250
300
350
EGX30
OCDI
Awards
2013: Allegria - best residential project – Built 2013: The Polygon - best commercial and mixed use project – Future
A globally recognised developer
Cityscape
Euromoney
Business Today
Ministry of Trade & Authority
CNBC Property
Euromoney
American Society of Landscape
Architects
Award Description
2011: Best developer overall Egypt 2011: Best mixed use developer Mena 2011: Best residential developer Mena
2010: Best developer overall Egypt 2010: Best mixed use developer Mena
2011: Best company by BT100 rank change at the BT100 Crystal Awards
2010: Enterprise Innovation Award for registering all of its trademarks with the Internal Trade Development Authority, an affiliate of Ministry of Trade and Industry
CNBC Arabian Property 2009: Allegria best architecture among other developments CNBC Property 2008: Allegria best development in Egypt with a 5-star award CNBC Property 2008: Allegria best golf course development with a 4-star award
2007: Allegria award of merit from the American Society of Landscape Architects (ASLA) for its master plan, developed by world-renowned master planners EDAW
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Disclaimer
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This Presentation is intended for information purposes only and does not constitute or form part of an offer for sale or subscription or an invitation or solicitation of an offer to subscribe for or purchase securities of any kind and neither this document nor anything contained herein shall form the basis of any contract or commitment from any party whatsoever. Information, including but not limited to financial information, in this presentation should not be considered as a recommendation in relation to holding, purchasing or selling shares, securities or any other instruments in or, in entities related to, SODIC or any other company. This Presentation contains important and privileged information on SODIC which is solely owned by SODIC and may not be relied on or used by any person whosoever for any purpose, and therefore shall be kept secret and confidential by any receiving party. This document includes forward-looking statements. The words "believe", "anticipate", "expect", "intend", "aim", "plan", "predict", "continue", "assume", "positioned", "may", "will", "should", "shall", "risk" and other similar expressions that are predictions of or indicate future events and future trends identify forward-looking statements. These forward-looking statements include all matters that are not historical facts. In particular, the statements regarding strategy and other future events or prospects are forward-looking statements. Recipients of this document should not place undue reliance on forward-looking statements because they involve known and unknown risks, uncertainties and other factors that are in many cases beyond the control of the Company. By their nature, forward-looking statements & projections involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance and the Company's actual results of operations, financial condition and liquidity, and the development of the industry in which the Company operates may differ materially from those made in or suggested by the forward-looking statements contained in this document. The cautionary statements set forth above should be considered in connection with any subsequent written or oral forward-looking statements that the Company, or persons acting on its behalf, may issue. Various factors could cause actual results to differ materially from those expressed or implied by the forward-looking statements in this document including worldwide economic trends, the economic and political climate of Egypt, the Middle East and changes in business strategy and various other factors. All information contained in this presentation, including but not limited to information relating to the Egyptian real estate and financial markets, are compiled from sources known to be reliable and/or publicly available data reasonably assumed to be accurate (the “Source Data”). The Source Data may contain errors and/or inaccuracies; SODIC provides no warranties or guarantees of any kind, expressed or implied, and accepts no responsibility whatsoever, with regard to the accuracy, completeness or correctness of the Source Data used in the Presentation. This disclaimer is to be considered an integral part of the Presentation and SODIC’s liability in respect of this Presentation and is to be governed by Egyptian law under the jurisdiction of Egyptian courts.
Thank You
For SODIC investor relations enquiries contact: Mahmoud Badran [email protected] Tel: +202 3854 0121 SODIC IR website: ir.sodic.com SODIC corporate website: www.sodic.com