I have received a shareholder offer for up to $15000 units in Centuria Industrial (CIP) at a price of $2.45. This offer closes Wednesday 9 August. Currently the price is $2.45, so the offer you are saving on brokerage and the forecast yield is 8.4% paid quarterly.
I bought them as TIX @average $2.00
Are they still a buy at this price?
A: Thanks for the question on Centuria Industrial (CIP).
The share purchase plan is at $2.45, a small discount to the current price of $2.50.
I am a little non-plussed about property trusts, although this is an industrial fund with a forecast distribution yield of 8.2% in FY17 rising to 8.3% in FY18.
I can only find one major broker who covers it and that is Morgans. They have an ‘’add” recommendation and a target price of $2.58 on the stock.
Regards
