NSR Halt: the storage REIT spent the day in halt as they look to raise $325m in a non-renounceable entitlement offer. The company is looking to re-organise its balance sheet after a spree of acquisitions with the tone of the presentation suggesting it’s unlikely to slow down just yet. At $2/sh, the raise is just a 3.8% discount to last, however it does come with a nice upgrade to guidance. NSR now saying the ”taking into account the impact of the Equity Raising and NSR’s strong operating performance, NSR provides upgraded FY21 underlying EPS guidance of 8.5 to 8.6 cents per stapled security.” Occupancy has hit a record 86.7% as at the end of April and the company expects the momentum to continue into next year, guiding to at least 8% EPS growth in FY22. We own NSR in the Income Portfolio and expect to participate in the entitlement offer.
MM remains bullish NSR
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