FITCH REAFFIRMS SIRIUS' BBB INVESTMENT RATING
SIRIUS REAL ESTATE LIMITED
(Incorporated in Guernsey)
Company Number: 46442
JSE Share Code: SRE
LSE (GBP) Share Code: SRE
LEI: 213800NURUF5W8QSK566
ISIN Code: GG00B1W3VF54
7 November 2022
Sirius Real Estate Limited
("Sirius Real Estate", "Sirius", the "Group" or the "Company")
FITCH REAFFIRMS SIRIUS' BBB INVESTMENT GRADE CREDIT RATING WITH STABLE OUTLOOK
Sirius Real Estate, the leading owner and operator of branded business and industrial parks providing conventional and flexible workspaces in Germany and the UK, announces that Fitch Ratings has reaffirmed the Company's BBB investment grade rating with 'Stable Outlook' (Long-Term Issuer Default Rating). This rating comes ahead of the Company's half year results, which will be announced on 21 November 2022.
In its rating, Fitch noted that it expects income to remain stable due to an active focus on occupancy and low affordable rents for the Company's out-of-town locations. It also highlighted the benefits of the Sirius operating platform and the resilience of its core, high-yielding portfolio, which were evidenced by the high levels of occupancy rates in Sirius's German (84.2%) and UK (90.5%) portfolios, as well as the solid rent collection rates achieved during the COVID-19 pandemic (Germany: 98%; UK: 99.3%). Fitch anticipates that total average portfolio occupancy levels will remain above 80%.
Fitch also highlighted Sirius' in-house digital sales and marketing capability which minimises the reliance on third party brokers.
Sirius CIO and Interim CFO, Alistair Marks, commented: " Retaining our investment-grade rating in today's challenging market environment is testament to the resilience and flexibility of our portfolio, the digital tools we have created to source and attract tenants for our assets and the benefits of our asset management model. This rating will allow us to continue to optimise and diversify our funding structure and is a further endorsement of the strength of our platform, following shortly after our recent refinancing of our €170 million Berlin Hyp AG facility, a year in advance of the end of its term."
For further information:
Sirius Real Estate
Andrew Coombs, CEO / Alistair Marks, CIO and Interim CFO
+49 (0) 30 285 010 110
FTI Consulting (Financial PR)
Richard Sunderland / James McEwan / Talia Shirion
+44 (0) 20 3727 1000
SiriusRealEstate@fticonsulting.com
NOTES TO EDITORS
About Sirius Real Estate
Sirius is a property company listed on the main and premium market of the London Stock Exchange and the main board of the JSE Limited. It is a leading owner and operator of branded business and industrial parks providing conventional space and flexible workspace in Germany and the UK. As of 31 March 2022, and following the acquisition of BizSpace, a leading UK provider of regional flexible workspace, the Group's portfolio comprised 140 assets let to 9,452 tenants with a total book value of over €2 billion, generating a total annualised rent roll of €167.1 million. Sirius also holds a 35% stake in Titanium, its €350+ million German-focused joint venture with clients of AXA IM Alts.
The Company's strategy centres on acquiring business parks at attractive yields and integrating them into its network of sites - both under the Sirius name and alongside a range of branded products. The business then seeks to reconfigure and upgrade existing and vacant space to appeal to the local market via intensive asset management and investment and may then choose to selectively refinance or dispose of assets once they meet maturity, to release capital for new investment. This active approach allows the Company to generate attractive returns for shareholders through growing rental income, improving cost recoveries and capital values, and enhancing returns through securing efficient financing terms. The Company has a strong track record for growing its income and has delivered like-for-like rent roll growth in excess of 5% for the last eight consecutive years.
For more information, please visit: www.sirius-real-estate.com
Follow us on LinkedIn at https://www.linkedin.com/company/siriusrealestate/
Follow us on Twitter at @SiriusRE
JSE Sponsor
PSG Capital
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