Palace Capital (PCA)

Business description

Palace Capital is an AIM-quoted property investment company focused on commercial real estate in the UK outside London. The portfolio is diverse, with the largest weighting in offices. Management aims to increase capital value and provide a sustainable and growing income stream.

Stock data

Market cap.£158.1m
Last close345.00p
High / Low (52 weeks)387.8p / 343.1p
Stock market listingLN
Forecast net debt (£m)89.2
Forecast gearing ratio (%)50
TeamProperty
SectorProperty

Price performance

%1m3m12m
Actual(1.4)(4.3)1.3
Relative *(4.7)(5.1)(6.4)

* % Relative to local index

Other companies in sector Show

Company news

Palace Capital Plc

Tue, 11 Apr 2017 22:53:51 GMT

Palace Capital Agrees To Acquire RT Warren For GBP53 Million (ALLISS)

Tue, 19 Sep 2017 10:07:30 GMT

Property firm Palace Capital shows it is far from grim up north - in fact the ...

Tue, 18 Apr 2017 11:09:25 GMT

Palace Capital Completes Acquisition Of SM Newcastle For GBP20 Million

Mon, 07 Aug 2017 09:56:15 GMT

'We're still a bit under the radar', says Palace Capital's Neil Sinclair

Mon, 10 Apr 2017 17:35:26 GMT

Y/E Mar Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2016A 13.0 N/A 11.8 18.9 18.3 N/A
2017A 12.2 N/A 12.6 22.2 15.5 N/A
2018E 14.4 N/A 8.3 19.9 17.3 N/A
2019E 18.3 N/A 11.3 21.5 16.0 N/A

Last updated on 11/10/2017

Investment summary

Palace Capital shareholders have approved the significant acquisition of RT Warren, with a mixed use investment portfolio valued at £71.8m, and the issue of shares to fund it. Management has built a strong track record of value creation from previous acquisitions and expects its management of these newly acquired assets to yield similar results. That potential is not reflected in our revised estimates with the effect that earnings and NAV are diluted. Our dividend forecasts remain the same, and fully covered, such that Palace retains a highly attractive yield and discount to NAV. The increased market capitalisation and intention to seek a Main Market listing are likely to broaden Palace’s appeal to a wider investor base.

Last updated on 11/10/2017

Industry outlook

The regional occupier market is reported to be healthy and we continue to expect Palace’s geographical and sector focus, as well as the relatively high yields on the portfolio, to provide some protection from potential macroeconomic headwinds, including those related to Brexit, especially compared to property in London.

Last updated on 03/10/2017

Key management

Neil Sinclair, CEO
Stephen Silvester, CFO

Company address

One George Yard
London
EC3V 9DF
United Kingdom
+44 (0)20 3301 8335
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