Trésorier/Treasurer magazine - N°89 - April/May/June 2015 - (Page 56)

15 MINUTES WITH... CBTI - Could you present your company ? CB Trading and Invest NV is a Belgian Based Fixed income advisory company, established in 2003, with offices in Belgium and UK, London. It has been a specialist in Research and Development for innovative financial products and bonds for Fixed income managers, since 2003. Our clients are mainly asset managers, family offices, insurance companies and pension funds where a long term liability of the products or bonds is one of the mayor concerns. We are very happy to welcome the interest in our innovation financial products from treasury managers. - What is innovating since the yield shrink ? / MAY / JUN 2015 Since the 5 year swap-rates dived below the 1%, it is very difficult to produce a stable and satisfying return with controlled risk. Today we are facing swap-rates of 0.3% on 5years, and 1% on 20 years. Therefore we have come up with a fully new and innovative investment solution that offers both, an investment opportunity for Fixed Income as well as alternative financing for cities globally. We - in cooperation with one of the biggest law-firms and a specialized corporate finance team -have become the pioneer for BeNeLux in a new and innovating investment-segment : Parking securitization. The win-win strategy for the future. LE MAGAZINE DU TRESORIER / TREASURER MAGAZINE - N°89 - APR - What do you mean by win-win ? In a financial transaction we always have two parties, a buyer and a seller. We create a bond with a 4% coupon, based on tangible asset to be sold on the market to our fix-income clients and by buying the underlying parking concessions from the city (the tangible asset), we provide the city with cash depending on the maturity of the underlying bond. The city in fact is 'forwarding' its future-cash flow out of its parking's. Depending on the track record of the parking-income, we are talking coupons of 4%to 5% gross. ensure that the historical cities of Bruges, Ghent and Antwerp can be reached in one hour's time. The lack of a railway CB Trading and invest NV station makes that cars still have a dominant presence. The city of Nieuwpoort Chief executive officer drew inspiration from large European coastal cities and performed an analogous city centre renewal which combines commercially interesting opportunities with a green and pleasant living environment. The current marina will be extended to provide 2600 berths, making it the largest in Europe. Nieuwpoort clearly does not underestimate the value of modern real estate development. The city created a unique wide fine sandy beach with a beautiful promenade. Johan Maet - What will tick all the boxes for Fixed Income investors ? Today, Fixed Income Investors are looking for yield through tangible investments with solid collateral. - Solid collateral ? The construction of underground parking's in the city of Nieuwpoort is even an additional collateral for the bond-holders beside the parking-concession. In WKP even the lease-hold of the land is included in the collateral. The track-record of the parking-income gives a guarantee on the yearly coupon to be paid through the X/N system of the NBB (National Bank Belgium) by the bond. For WKP the coupon is 4% a year and the bond maturity (callable) is 8 years. CBTI 56 - Did you already issue such a bond ? We issued our first one in December 2014 through an SPV WestkustParking NV : Westkustparking Bond (WKP): 40 mil EUR. The first tranche of 25 Mil EUR offers a coupon for the bond at 4% per annum, the result of the exploitation-income out of the parking meters and contribution-tickets. This WKP 1st tranche provides financing for the construction of underground parking's in the city of Nieuwpoort. The finalization of the construction, in 2016, will trigger the 2nd part of the issue, the 15 Mil EUR tranche, completing the total issue of 40 Mil EUR. - Why Nieuwpoort ? Firstly, as our headquarters for Belgium are located in Nieuwpoort, at the idyllic North Sea coast, it seemed obvious to play a homerun. Secondly, and even more important, its central location on Belgium's 67 km long coastline and an excellent transport network - Tangible ? Yes, for WKP we have securitized 4000 parking spaces for an investment of 40 Mil EUR, meaning 1 mil EUR investment equals the 'concession-time income' for 100 parking's in the city. Valuing a parking space at 10.000 EUR; taking into account that a garage in this city is sold today for 65.000EUR excl. Tax; thus a very strong collateral! - What if rates go up ? Rates will go up on inflation, inflation will increase the price for the parking's, as the coupon is fixed, the internal cash in the bond will rise, as will the bondprice ! - Are other cities in the pipeline ? Affirmative. - Where can we find all the information ? We have set-up for the emission and investors a special website, Potential investors can subscribe to our international roadshows.

Table des matières de la publication Trésorier/Treasurer magazine - N°89 - April/May/June 2015

Table of contents
Treasurers' kitchen nightmare
FATCA the next hassle for corporate treasurers?
Treasury is becoming much more...
One year on - EMIRage or EMIRate?
Making the most of trade reporting data
EMIR, where do we stand?
Surety bonds - gaining acceptance globally as performance security
The colour of money
Money Market Funds - adapting to a challenging landscape
Comment offrir un meilleur rendement monétaire dans un univers de taux bas?
A repolution - The new Repurchase Conditions
Finding a technology partner in a world of change
Raising your Cyber Security level with Cyber Threat Intelligence

Trésorier/Treasurer magazine - N°89 - April/May/June 2015