7th Apr 2014 11:28
LONDON (Alliance News) - Duet Real Estate Finance Ltd Monday reported a drop in profit for the full-year after realising a loss on the revaluation of its assets.
The closed-ended investment scheme incorporated in Guernsey posted profit of GBP3.8 million for 2013 down from GBP4.5 million as it was hit by a GBP3.3 million loss on the revaluation of investments compared with a GBP631,089 profit a year earlier.
Investment income however increased to GBP7.4 million from GBP4.2 million in 2012.
The company's net asset value per share at the period-end stood at 93.5 pence, down from 98.5 pence. The company also paid four dividends during the year totalling 10 pence per share, up from 5 pence, equating to a net asset value total return for the year of 5.1% compared with 6.3% a year earlier.
Duet said while occupier activity remains "subdued" across its European markets, it witnessed international investment activity pick up as euro breakup concerns receded.
The increased market activity brought more investment opportunity to the Investment Adviser, the firm added and therefore during the first half of the year, the Master Fund - European Real Estate Debt Fund LP - completed its investment programme, investing GBP77.3 million.
Looking ahead, the company said following the completion of its investment programme in May, the Master Fund has now entered its "realisation phase" and will continue to receive repayments on its loans, sell down assets and return capital to the company.
"Your board anticipates that it will deliver on its targeted returns and lead the company to be in a position to make cash distributions in excess of 7% per annum based on the issue price and distribute capital via future B-share issues," the firm said.
The stock was trading at 75.00 pence Monday morning, up 0.75 pence or 1.0%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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