Civitas Social Housing has said it is considering “all measures” to restore confidence and prop up its share price after ongoing criticism from a hedge fund that took a short position in its stock.
Announcing results for the six months to 30 September, the REIT said its annualised rent roll was up by 6% from a year earlier at £52.5m, with its portfolio valued at £946.3m, a lift of 5.3%. The company posted EPRA earnings of £14.9m, down close to 4%. NAV per share of 108.49p was almost flat year-on-year.
The company has been criticised by hedge fund ShadowFall in recent months for particular business dealings and transparency over acquisitions. Since July its shares have lost a fifth of their value.
Referencing the matter in its latest results, Civitas said: “The company has been the subject of negative speculation due to the actions of certain short sellers in the company’s shares… The board continues to have confidence in the revenue streams and assets of the company and has demonstrated this by undertaking share buy-backs at these depressed levels…. We continue to consider all possible measures to restore confidence in the company and its share price.”
Chairman Michael Wrobel said: “These results demonstrate the strong performance of the company in financial and social terms. The provision of homes for life for the most vulnerable remains a priority which in turn enables the company to deliver measurable social impact and responsible economic returns for shareholders.”
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