Attacq's Share Price Up Sharply After It Predicts A Second Year Of Strong Dividend Growth

Attacq, the JSE-listed REIT and strategic development partner of Waterfall City, has reported a sector-leading 19 increase in full-year dividend to 69 cents a share, with distributable income per share rising by 19.9 to 86.2 cents.

The share price rose 6.33 on the JSE to R12.60 by yesterday afternoon after briefly touching a three-year high of R12.99 earlier in the day, indicating that investors viewed the results favourably.

Operations were sound, with the occupancy rate at 92.8 and collection rates high at 100.2. In the results for the year to June 30, the performance was attributed to a strong long-term strategy and consistent execution against it.

CEO Jackie van Niekerk said in an interview they had achieved strong growth in distributable income due in part also to deals that converted lazy capital assets into productive ones, and which also led to lower finance costs.

Next years distributable income per share guidance was similarly strong at between 17 and 20, with a dividend payout ratio maintained at 80.