I dont have access to my laptop right now but I certainly do remember seeing a note about these sorts of right for SWM in a previous annual report. Just can’t remeber which one right now, but certainly not the FY19 one.
From memory SWM did a deal with Nine a while ago to co-locate production facilities for news etc. PRTs head office in Canberra is next door to Nine. Wouldn’t be surprised if a similar deal in the ACT is done and SWM sell the ACT office for debt reduction.
The land & buildings value on PRTs balance sheet is way understated. From memory the land value for ACT head office (99 year lease) and two (?) strata sales offices in Pyrmont (near SWM offices) are being carried at less than $100k.
IER from PRT should look at the transaction on an NTA basis with market value adjustments - might be illuminating versus earnings multiples heading into an Olympics broadcasting year...
PRT Price at posting:
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