BWP Trust (BWP) Investor update summary

Equity Raising and Capital Deployment

• Announced a fully underwritten, accelerated 1-for-12 non-renounceable entitlement offer to raise approximately AUD 228 million (or $228 million) at a 4.3% discount to the last closing price, with Wesfarmers (23.4% holder) committing to its full entitlement of about $53 million.

• Proceeds will initially repay debt, reducing pro forma gearing to 17%, and fund a $163 million pipeline of accretive developments, expansions, and upgrades, with significant balance sheet capacity remaining.

• New securities will rank equally and be entitled to the second half FY26 distribution of 9.83 cents per security.

• The offer is fully underwritten by Morgan Stanley Australia Securities Limited, with customary conditions and indemnities.

• Eligible securityholders in Australia and New Zealand can participate, with the record date on 8 May 2026 and settlement between 15 May and 29 May 2026.

Growth Strategy, Portfolio Update, and Market Positioning

• Over $700 million deployed in the past two years, including the $517 million NPR acquisition and $143 million internalisation and lease reset, with a current pipeline of $163 million in capital commitments.

• Portfolio has grown at 22% per annum since 2020, now valued at approximately $1.2 billion (or $3.8 billion in some reports), driven by income growth, yield compression, acquisitions, and asset repurposing.

• Four major LFR projects underway at Fountain Gate, Noarlunga, Midland, and Broadmeadows, with high pre-leasing rates and completion expected in FY27.

• LFR market is estimated at AUD 25 billion, with the company underrepresented, presenting further acquisition and growth opportunities.

• Strategy focuses on portfolio optimisation, profitable growth, and renewal to deliver secure and growing income streams.

Financial Guidance and Returns

• FY26 distribution guidance reaffirmed at 19.41 cents (AUD 0.1941) per security, with new securities entitled to the second half FY26 distribution of 9.83 cents per security.

• Pro forma NTA expected to decrease by AUD 0.03 post-raise, but anticipated NTA uplift of AUD 0.08 from project completions should offset dilution.

• Track record of delivering annualised total security holder returns of approximately 12% since listing, with $1 invested at IPO now worth $22.95 with reinvested distributions.