Investor Presentaiton
JPR
Equity Finance Overview
JPR conducted its fifth additional public offering through a global offering, the first such arrangement for JPR
[Background]
Concerns about real estate transaction prices rising in anticipation for
recovery in the office building leasing market
Apparent moves toward equity financing during the current fiscal year
being activated led by operating companies
Tendency for "risk off" (avoiding risks) in the face of the European
sovereign debt crisis, uncertain outlook of the world economy and other
factors
JPR's unit price remains solid, staying above net asset value (NAV) per
unit
Investigation of an offering size that can absorb investor demand amid
limited offering opportunities
[Objectives]
■Prepare for implementing growth strategy by quickly regaining JPR's extra capacity to
acquire properties through debt financing
■Selective investment in properties with relatively high yields, akin to the stabilized profitability
and reinforced foundations for growth realized by the acquisition of Otemachi 1-6 Plan
(tentative name) (land with land leasehold)
■Secure DPU at 6,000 yen, the target level under normal operations, for the 23rd fiscal period
and after
■Firmly maintain the position as one of the largest J-REITS managing a comprehensive-type
portfolio, both in terms of market capitalization and asset size
■Provide foreign investors with investment opportunity in the primary market through global
offering, the first such arrangement for JPR
LTV
(based on unitholders' capital)
End of 21st
fiscal period
After public
offering
53.2%
48.5%
(Note)
(Note) The figure assumes that JPR will issue 8,580 new investment
units through third-party allotment and repay JPY 2.5 billion in
interest-bearing debts.
Acquisition price
(single property)
NOI yield
(current figure)
Market capitalization
(as of Aug. 10, 2012)
Asset size
(as of Aug. 17, 2012)
JPY 10,996 million
5.8%
JPY 170.4 billion
JPY 391.9 billion
[Equity Finance Overview]
Offering type
Number of investment units
issued and outstanding
Global offering
(offering centered on Europe and Asia [excluding the U.S. and Canada])
715,000 units
Total number of units issued /
dilution ratio
110,000 units
Dilution ratio: 15.4% of units issued and outstanding
Domestic primary offering
and global offering
Secondary offering
(over-allotment)
Total amount of offering
Domestic primary offering
and global offering
Secondary offering
(over-allotment)
Portion
101,420 units
(57,420 units via domestic offering and 44,000 units via
global offering)
[Public Offering Results]
First additional public offering
Additional listing: July 2003
Unit issued: 140,400
(JPY bn) Total purchase price: JPY 32.1
billion
250
Second additional public
offering
Additional listing: February
2005
Unit issued: 100,000
Total purchase price: JPY 26.3
billion
Third additional public offering
Additional listing: February 2007||
Unit issued: 95,000
Fourth additional public offering
Additional listing: February
2010
Unit issued: 90,000
Total purchase price: JPY 41.2 Total purchase price: JPY 14.6
billion
billion
Fifth additional public offering
Additional listing: July 2012
Unit issued: 110,000
Total purchase price: JPY 20.7
billion
8,580 units
(Third-party allotment as a result of exercising the
greenshoe option: 8,580 units maximum)
200
JPY 21,407 million
Total procured amount JPY 20,704 million (maximum)
192
171 171 171 171 171
156 156 156 156 156 156
JPY 19,737 million
Net proceeds JPY 19,089 million
150
JPY 1,669 million.
Net proceeds through third-party allotment JPY 1,614
million (maximum)
115 115 115 115
60% domestic
100
89 89 89
(42% public and 18% institutional): 40% global
Issue price (offer price)
JPY 194,610 per unit (closing price of the pricing date: JPY 199,600).
56 56 56
50
Paid-in amount (purchase price)
JPY 188,222 per unit
Resolution day of issuance
/pricing date
Resolution day of issuance: July 9, 2012
Pricing date: July 23, 2012
H 54.9
39.4 40.6
46.4 51.1
37.1
42.0 44.1 45.8 48.7
37.2 38.9 44.1 45.2 48.9 49.0 48.5 48.9 48.7 48.8 53.2 48.5
Payment date / additional listing Payment date: July 30, 2012
date
0
Additional listing date: July 31, 2012
Use of proceeds
JPY 7.0 billion to fund acquisition of specified asset, JPY 13.7 billion to repay short-
term borrowings (planned)
1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th 13th 14th 15th 16th 17th 18th 19th 20th 21st End of
Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Period Aug.
Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. Dec. Jun. 2012
2002 2002 2003 2003 2004 2004 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 2010 2010 2011 2011 2012 Forecast
Unitholders' capital
LTV based on unitholder's capital
Japan Prime Realty Investment Corporation
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