NEPI Rockcastle releases a voluntary trading update in an attempt to stop the pain

On Thursday, a number of property companies were smashed on the back of rampant speculation Viceroy, the research company that provided colour around the extent of the shenanigans at Steinhoff, was preparing to release a second report. Under fire was GreenBay Properties, Resilient and Nepi Rockcastle. While Nepi finished only 5.15% lower, at one point the stock was down 20.42%. To help stem the speculation, and perhaps settle market participants nerves, the company released a voluntary trading statement at 17:00. The group confirmed its distributable earnings per share are expected to be approximately 17% higher than the pro-forma distribution of 41.21 euro cents per share a year ago. It also wished to confirm its loan-to-value ratio is currently below the group’s target level of 35%. Its results for the year ended 31 December 2017 are set to be released on or around the 20th of February 2018.

In currencies, the rand weakened slightly during Thursday’s session, but erased all of its losses overnight. This comes amid some support for the local currency following an uptick in resource prices. After a previous close of R12.47/$ on Wednesday, the rand was at R12.41/$ at 07:00. From there, the local currency made a poor start dropping to R12.482/$ at 10:20 and then touched a low of R12.485/$ at 14:40. However, from this point, the rand recovered strengthening to just below R12.39/$ this morning.

In Asia, markets are up, with the exception of the Japanese Nikkei, buoyed by yesterday’s rally in US markets and yet another uptick in oil prices. The Hang Seng led the region’s gains, with the index adding 0.5% to 31,277.89 index points, on track to lengthen its recent run of gains. The Australian ASX has risen 0.22%, set to end in positive territory for the first time in three days. The Shanghai Composite had gained 0.1% by the break to 3,428.65 index points, despite this being partly offset by a 0.01% decline in the Japanese Nikkei.

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