Aliansce Day 2012

Aliansce Day Presentation
2012
Our Portfolio
Mature Assets (More than 5 years of operating history)
New Generation Assets (Malls with less than 5 years of operating history)
Next Generation Assets (Assets under development)
Third Party Malls - managed by Aliansce
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Our Portfolio
Shopping Centers
State
Mature Assets - More than 5 years of operating history
% Aliansce
GLA (sqm )
Ow ned GLA
(sqm )
Occupancy
Rate
Services
Rendered (1)
57.7%
263,661
152,261
99.4%
M
L
SSC
Shopping Iguatemi Salvador
BA
53.0%
64,625
34,271
99.1%
P
P
Shopping Taboão
SP
78.0%
35,437
27,641
100.0%
P
P
Via Parque Shopping
RJ
69.6%
57,989
40,372
99.2%
P
P
P
Shopping Grande Rio
RJ
25.0%
36,770
9,193
99.7%
P
P
P
Carioca Shopping
RJ
100.0%
23,805
23,805
99.0%
P
P
P
Shopping West Plaza
RJ
25.0%
33,532
8,383
n.a
P
P
BA and RJ
74.7%
11,503
8,596
100.0%
70.3%
333,806
234,618
97.3%
M
L
SSC
P
C&A Stores
New Generation Assets - Less than 5 years of operating history
n.a.
Bangu Shopping
RJ
100.0%
52,365
52,365
100.0%
P
P
Santana Parque Shopping
SP
50.0%
26,523
13,261
95.6%
P
P
Shopping Santa Úrsula
SP
37.5%
22,993
8,622
96.8%
Caxias Shopping
RJ
89.0%
25,559
22,747
97.9%
P
P
P
Boulevard Shopping Brasília
DF
50.0%
17,002
8,501
93.7%
P
P
P
Boulevard Shopping Belém
PA
75.0%
39,260
29,445
99.6%
P
P
Boulevard Shopping Belo Horizonte
MG
70.0%
43,016
30,111
93.9%
P
P
P
Boulevard Shopping Belo Campos
RJ
100.0%
18,307
18,307
100.0%
P
P
P
Parque Shopping Belém
PA
50.0%
31,271
15,635
96.1%
P
P
P
Boulevard Shopping Vila Velha
ES
50.0%
30,058
15,035
-
P
P
Boulevard Shopping Nações Bauru
SP
75.0%
27,452
20,589
-
P
P
Total Portfolio
64.8%
597,467
386,879
98.2%
Next Generation Assets - Under developm ent / redevelopm ent
67.5%
58,277
39,352
M
L
-
Parque Shopping Maceió
AL
50.0%
37,851
18,926
-
P
P
Boulevard Corporate Tow er
BH
100.0%
20,426
20,426
-
P
P
65.0%
655,744
426,231
Total Portfolio + Assets Under Developm ent
(1)
SSC
M for Management | L for Leasing | SSC for Shared Services Center
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Our Portfolio
3Q12 Owned GLA per Region
North
11.8%
3Q12 Gross Revenues per Region
North
16.4%
Northeast
14.4%
Northeast
19.2%
Southeast
and Mid-West
73.8%
Southeast
and Mid-West
64.4%
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Company Highlights
Leading Developer
Outstanding Growth Track Record
Diversified Portfolio
Efficient and Solid Capital Structure
Strong Shareholder Base
 Most active developer in Brazil(1)
 10 shopping malls developed in less than 6 years
 EBITDA CAGR 2006 – 2011: 50.9%
 Owned GLA CAGR 2006 – 2011: 28.3%
 Diversified portfolio with country-wide footprint and exposure to all income segments
 Portfolio with 98.3% occupancy
 Efficient use of balance sheet
 Debt aligned with the company’s cash flow with average maturity of 7 years
 Shareholders with strong tradition in the shopping mall sector
 GGP is one of the largest owners of malls in the U.S.
(1) In terms of number of malls developed since 2006, among Brazilian publicly-held shopping center developers
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Our Portfolio
387
Owned GLA sqm - thousands
CAGR05-12: +32.1%
264
226
198
161
55
Stake Increase
Acquisition
2005
Development
/ Expansion
277
80
2006
2007
Iguatemi Salvador
Shopping Grande Rio
SuperShop Osasco
Shopping Taboão
Blvd Campina Grande Carioca Shopping
2008
2009
2010
2011
2012
Shopping West Plaza
Santa Úrsula
Via Parque Shopping
Shopping Taboão
Shopping Grande Rio
Santa Úrsula
Iguatemi Salvador
Iguatemi Salvador
Bangu Shopping
SuperShop Osasco
SuperShop Osasco
Iguatemi Salvador
Shopping Taboão
Caxias Shopping
Carioca Shopping
Blvd Campos
Blvd Campina Grande
Blvd Campina Grande
SuperShop Osasco
Via Parque Shopping
Blvd Campina Grande
Iguatemi Salvador
Bangu Shopping
Caxias Shopping
Blvd Brasília
Blvd Belo Horizonte
Blvd Campos
Parque Belém
Santana Parque
Shopping
Shopping Taboão
Blvd Belém
Carioca Shopping
Via Parque Shopping
Blvd Vila Velha
Shopping Grande Rio Bangu Shopping
Bangu Shopping
Blvd Nações Bauru
Iguatemi Salvador
6
Growth Drivers
Owned GLA growth (sqm)
Capital Expenditure until 2014
460,680
20,426
34,171
350,962
13,250
8,383(2)
5,161
35,901
Sale
Divestment(1)
Acquisition(2)
2012E
Acquisition
Greenfields
Expansions
Total
Expansions
263.6
Greenfields
73.5
Real Estate Projects
38.6
18,926
+31.3%
3T12
In R$ million
2013E
Key money / Land swap (3)
-172.8
Total
202.9
Final 2013
Commercial Towers
(1)
Sale of Boulevard Campina Grande
of Shopping West Plaza
(3) Monetization of excess land
(2) Acquisition
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Recent Events: Acquisition of stake in Shopping West Plaza - SP
 Acquisition of 25% stake: Adding 8,383 sqm of owned GLA to portfolio
 Acquisition Price: R$65.0 million
 Price per sqm: R$ 7,754.00
Highlights
Location
São Paulo, SP
Opened
May 1991
GLA
33,532 sqm
8
Recent Events: Opening of the expansion of Boulevard Shopping Belém - PA
 3,832 sqm of owned GLA, an increase of 15% to the Mall’s GLA
 40 new stores and one new floor of deck parking, adding 165 spaces
 In the first nine months of 2012, Boulevard Belém had average monthly sales per square meter of
R$ 1,122 and average monthly Net Operating Income per square meter was R$ 106.0
Expansion Highlights
Opening: November 22, 2012
Aliansce Stake: 75.0%
Total GLA : 5,109 sqm
Own GLA : 3,832 sqm
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Greenfield Projects
Projects
% Aliansce
Greenfield Projects
Opening
75.0%
Boulevard Shopping Vila Velha
50.0%
Projects
Boulevard Shopping Nações
Bauru
Parque Shopping Maceió
3Q13
Total
50.0%
GLA
27,453 sqm
30,058 sqm
37,851 sqm
% of GLA
Leased
% Capex 3Q12
NOI 1st year +
Services (1)
NOI 3rd year +
Services (1)
Cap Rate 3rd year
91.7%
91%
R$11.6 mm
R$17.7 mm
12.7%
88.3%
84%
R$9.2 mm
R$15.9 mm
13.3%
78.0%
52%
R$12.9 mm
R$15.4 mm
16.7%
R$33.7 mm
R$49.0 mm
95,362 sqm
Boulevard Shopping Nações Bauru
(1)
Ownership
Rent management and CAM management fees
Boulevard Shopping Vila Velha
Parque Shopping Maceió
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Expansions
Boulevard Shopping Belém
Shopping Iguatemi Salvador
Future Expansions
Boulevard Shopping Campos
Carioca Shopping
Opening
GLA (sqm)
% Aliansce
Owned GLA (sqm)
Opened
5,109
75.0%
3,832
4Q12
2,628
50.6%
1,329
Boulevard Shopping Campos (1)
2Q13
6,273
100.0%
6,273
Parque Shopping Belém (1)
2Q13
1,440
50.0%
720
2Q13
4,091
25.0%
1,023
3Q13
10,722
100.0%
10,722
Via Parque Shopping
4Q13
3,163
69.6%
2,202
Caxias Shopping
4Q13
6,022
89.0%
5,359
Bangu Shopping
4Q13
2,712
100.0%
2,712
Caxias Shopping
2Q14
5,400
89.0%
4,806
Shopping Iguatemi Salvador
2Q14
8,500
50.6%
4,298
Shopping Taboão
4Q14
10,000
78.0%
7,800
Boulevard Shopping Belém
Shopping Iguatemi Salvador
Shopping Grande Rio
Carioca Shopping
(1)
(1)
(1)
Total
Bangu Shopping
(1)
Shopping Taboão
Projects already under development
66,060
Shopping Grande Rio
Via Parque Shopping
51,075
Caxias Shopping
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Excess Land – Mix-Use Projects
Potential to generate important synergies via
different types of projects around shopping centers
Areas available for development in addition to future
expansions of retail GLA
Main objective is to monetize the construction
potential, i.e. air rights
Boulevard Corporate Tower
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Financial Highlights
Net Revenue (R$ million)
CAGR09-11:
+29.9%
Gross Revenue Breakdown (%) - 9M12
270
Growth:
+28.6%
Key Money Transfer Fee
0.5%
5.2%
Services
9.6%
252
Parking
14.5%
208
196
160
Rent
70.2%
Gross Revenue 9M12:
R$271.3 million
2009
2010
2011
9M11
9M12
13
Financial Highlights
Adjusted EBITDA (1) (R$ million)
NOI (R$ million)
CAGR09-11:
+33.2 %
Growth:
+32.1%
229
66%
67%
71%
68%
71%
214
CAGR09-11:
+33.9%
167
190
162
138
129
2009
178
134
106
2010
2011
9M11
9M12
Adjusted FFO (2) (R$ million)
2009
2010
2011
EBITDA (R$ mm)
9M11
EBITDA Margin (%)
9M12
Capital Expenditure (R$ million)
CAGR09-11:
+47.2%
156
125
974
119
116
72
322
372
215
122
2009
(1)
(2)
2010
Excludes non-recurring expenses
Excludes non-recurring items and deferred taxes
2011
9M11
9M12
2009
2010
2011
9M11
9M12
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Operating Highlights
Same Store Sales per Square Meter (1) (R$/sqm)
Same Store Rent per Square Meter (1) (R$/sqm)
Growth:
+10.9%
CAGR09-11:
+11.7%
59.4
1,014
912
57.5
987
53.1
890
(2)
52.6
49.6
813
2009
Growth:
+9.3%
CAGR09-11:
+9.4%
2010
2011
9M11
9M12
2009
2010
2011
9M11
9M12
Same Store Sales Growth (%)
16.4%
14.9%
14.9%
12.9%
12.4%
11.1%
10.2%
10.3%
10.1%
10.0%
10.4%
8.9%
8.5%
6.2%
1Q10
2Q10
3Q10
4Q10
1Q11
Aliansce
(1)
(2)
Monthly average
Does not include Shopping Santa Úrsula
2Q11
BR Malls
3Q11
Iguatemi
4Q11
1Q12
2Q12
3Q12
Multiplan
Same-store sales posted double-digit growth
for the 11st consecutive quarter
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Aliansce’s financing structure - Principles:
 Hiring of fully-amortizing and long-term debt
 Debt that is accretive
 Debt indexed to historically stable indices and that correlate to Aliansce’s assets
 Maintenance of robust cash position and debt coverage ratio
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Indebtedness & Cash and Cash Equivalents*
Net Debt (R$ million) (1)
Breakdown Debt Indexes (%)
Others
4%
CDI
11%
180
1,397
1,655
214
IPCA
9%
448
36
1,440
TR
76%
733
1,439
Net Debt / Adj. EBITDA (2) = 5.3x
52
0
1,475
1,432
992
259
206
259
Banks
ST
CCI/CRI
ST
Obligations
ST
Total
ST
Banks
LT
CCI/CRI
LT
Obligations
LT
Debentures
LT
Total
LT
Total Debt
Cash
(3)
Net Debt
(1)
As of September 2012
Adj. EBITDA of R$268mm refers to the annualized 3Q12 Adjusted EBITDA
(3) Considers cash and cash equivalents and asset sale receivables
(2)
17
Shareholder Structure and Positive Impact on Liquidity
Pre-Offering (1)
Free Float Size (R$ million) (2)
+28.4%
Free Float
42,2%
Rique
Empreedimentos
12,3%
365.8
GGP Brazil III LLC
14,1%
GGP Brazil I LLC
31,4%
1,653.3
1,287.5
Market Cap: R$3.1 bn
(1) (1)
Current
Free Free
FloatFloat
Atual
Post-Offering (1,2)
Primary Primária
Offering
Oferta
Free Float
Float Post-Offering
Free
Após a Oferta
Share Liquidity - ADTV (R$ million) (3)
18.2
Rique
Empreedimentos
11,0%
Free Float
48,4%
16.5
14.9
13.2
9.8
GGP Brazil III LLC
12,6%
GGP Brazil I LLC
28,0%
Current 0.76%
Market Cap: R$3.4 bn
0.80%
0.90%
1.00%
1.10%
Share Turnover
Current Free Float of R$1.3 bn
Post-Offering Free Float of R$1.7 bn
Source: CVM, and Bloomberg
(1) Free float includes: (i) Government of Singapore Investment Corporation with 6.4%, (ii) BNY Mellon ARX with 5.1%, and (iii) Others with 30.7%. Although not considered in the free float, GGP III is not a part of
the shareholders’ agreement.
(2) Considering the base offering size of R$365.8 million and share price of R$21.85 as of November 30th, 2012
(3) Average daily traded volume for the last 60 days as of November 30th, 2012. Share turnover calculation excludes GGP III from free-float.
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Investor relations
Renato Rique - President
Henrique Cordeiro Guerra - Executive Director
Renato Botelho - CFO
Eduardo Prado - IR Superintendent
Pedro Arieira - IR Analyst
Yan Oliveira - IR Analyst
Phone.: +55 (21) 2176-7272
E-mail: [email protected]
Website: www.aliansce.com.br/ri
Disclaimer
This presentation may contain forward-looking statements that are subject to risks and uncertainties, because they
are not statements of historical facts, but reflect the beliefs and expectations of our management as well as
available information.
Our statements are based largely on current expectations and projections about future events and financial
tendencies that affect or may affect our business, and which may or may not materialize. Many factors could
adversely affect our results as contained in our forward-looking statements.
The forward-looking statements include information regarding results and projections, strategies, financing plans,
competitive position, industry environment, potential growth opportunities and the effects of competition. Such
estimates and projections refer only to the date they were made, and we assume no obligation to publicly update or
revise any of these estimates in the light of new information, future events or other factors, subject to the applicable
regulations.
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