Redefine final dividend 2.10p; total 4.13p

Redefine International reported on Tuesday that its earnings available for distribution was GBP20.3 million for the period ended August 31 from GBP7.5 million a year ago.

The group announced a second interim dividend of 2.10 pence per share giving a total dividend of 4.13 pence per share in comparison to 3.21 pence in 2010. 

Net operating profit lifted to GBP25.2 million for the 12 month period ended August 31, from GBP13.3 million for the comparative period a year ago. 

Phillippe de Nicolay, outgoing Chairman of the Board said: "The 2011 financial period has been a landmark one. The successful reverse acquisition between Redefine International plc (subsequently renamed Redefine International Holdings Limited [RIHL]) and Wichford PLC ("Wichford") has created a mid-tier, diversified income-focused property company. It has also secured a significant capital commitment from the Company's largest shareholder." 

The results indicated a decline in fully diluted Net Asset Value (NAV) per share to 46.59 pence this year from 46.77 pence the year before and the group attributed the decline to the costs of the reverse acquisition. 

De Nicolay said that following RIHL's initial approach to Wichford in November 2010, the Wichford Board undertook a thorough strategic review and concluded that a reverse acquisition with its largest shareholder provided the best possible basis from which to address its 2012 debt maturities as well as securing a supportive and well capitalised major shareholder alongside, with whom to pursue growth opportunities. 

The results for the period ended August 31 reflect the first set of results for the enlarged group following the reverse acquisition. As a result of the application of reverse takeover accounting the results reflect those of RIHL for the twelve month period to August 31 and do not give a true reflection of the enlarged group's underlying earnings available for distribution for the period. 

Significant transactions since the interim period include the reverse acquisition of Wichford as well as the acquisitions of the St George's Shopping Centre ("St George's") and the Crowne Plaza Hotel in Reading. 

De Nicolay outlined the prospects of the company stating how the year had been one of substantial change. 

Following this period, "the 2012 financial year is set to be one of consolidation and positioning the company for future growth. The integration with Wichford has progressed well and identified cost savings will be fully achieved in the next financial year. With an asset base of over GBP1.2 billion, the company has become a significant player in the listed real estate sector and will look to leverage off this base to improve access to capital and take advantage of investment opportunities." 

He said the company was considering selective share buybacks, in accordance with the existing shareholder authority granted at the AGM held on January 27 (such authority being subject to the subsequent consolidation of the company's share capital which was approved by the Company on August 4 and effected on August 22).

The authority would only be exercised after careful consideration by the board, as and when conditions were favourable, with a view to enhancing earnings per share and/or net asset value per share. Shares acquired would be held in treasury and details of all transactions would be announced to the market in accordance with the listing rules, when any relevant purchases had been made. 

Planning for the refinancing of the debt facilities maturing in 2012 was underway, and was expected to result in a rationalised government portfolio through a refinancing of a core portfolio of assets. The intention, as set out at the time of the reverse acquisition, was to undertake a capital raising during the course of 2012 to partly support a refinancing and to provide capital for identified and secured investment opportunities. Disposals of assets with limited growth potential or significant re-letting risk would be targeted to strengthen the lease length profile and improve the overall quality of the portfolio.