Further to the initial response to the first half results UBS notes GPT is in exclusive discussions to acquire the Ascot portfolio, which would strategically increase the weighting to logistics and provide accretion to earnings.
The company will also consider funding the acquisition via debt. Neutral rating maintained. Target rises to $5.00 from $4.80.
Sector: Real Estate.
Target price is $5.00.Current Price is $4.77. Difference: $0.23 – (brackets indicate current price is over target). If GPT meets the UBS target it will return approximately 5% (excluding dividends, fees and charges – negative figures indicate an expected loss).
