London, April 27
28 April 2020
PICTON PROPERTY INCOME LIMITED
(“Picton”, the “Company” or the “Group”)
Picton today announces an interim dividend payment in respect of the financial period from 1 January 2020 to 31 March 2020.
Picton is fortunate that it enters this period of uncertainty caused by Covid 19 from a position of strength with a covered dividend and a strong balance sheet with an LTV of 22%. The portfolio is well positioned with a diversified underlying income stream.
Despite this, the potential length of lockdown, the extent of the future UK Government response and the time required for the UK economy to recover is currently unclear. The corresponding impact on our occupiers and therefore our underlying cashflow is less certain than usual.
As such, the Board has concluded it is appropriate to reduce the level of distribution during this period and until market conditions become clearer.
The quarterly dividend will be reduced from 0.875 pence per share to 0.625 pence per share (3.5p to 2.5p annualised or just over 70% of the preceding dividend) with immediate effect.
This change to the dividend will provide the Company with flexibility in managing the property portfolio and the ability to support its occupiers, with a view to creating longer term value for shareholders, while maintaining balance sheet strength.
The dividend timetable is set out below:
The dividend of 0.625 pence per share will be designated as a property income distribution (‘PID’).
Nick Thompson, Chairman comments: -
“The Board believes it is both prudent and appropriate to make this reduction during these unprecedented times. We do, however, recognise the importance of the dividend payment to Picton’s investors and will keep it under constant review as this situation evolves.”
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF THE MARKET ABUSE REGULATION (EU) NO. 596/2014
For further information:
Jeremy Carey 07836 734 625 /James Verstringhe, 07769 698 105, email@example.com
Michael Morris, 020 7011 9980, firstname.lastname@example.org
Note to Editors
Picton, established in 2005, is a UK REIT. It owns and actively manages a £665 million diversified UK commercial property portfolio, invested across 47 assets and with around 350 occupiers (as at 31 March 2020). Through an occupier focused, opportunity led approach to asset management, Picton aims to be one of the consistently best performing diversified UK focused property companies listed on the main market of the London Stock Exchange. For more information please visit: www.picton.co.uk