We hope you can join us on Friday, February 4th at 10:00am ET for our Black Book presentation on new Best Idea Long Radius Global Infrastructure (RADI), which we previewed briefly HERE. As we have spoken about previously, small cap non-REIT RADI came across our radar recently and has emerged as one of the more interesting TAIL longs under our coverage. Specifically, we see (1) a massive market opportunity to acquire additional long-term lease streams relative to RADI's existing portfolio, without much competition, (2) the potential for ground cash flow ("GCF," essentially tower/antenna EBITDA or NOI) to accelerate and nearly double within three years, (3) a well-capitalized entity with plenty of dry powder to deploy, and (4) the potential for the stock to ~2x by year-end 2023, which is extremely hard to find in the REIT space with a relatively high degree of visibility.
EVENT LINK: CLICK HERE (video, dial-in, materials links)
KEY PRESENTATION TOPICS INCLUDED
- Introduction
- Position Monitor review
- Macro overview
- Quad 4 implications
- RADI
- Overall thesis
- Share price and returns math
- Business review and lease structure
- Corporate structure
- "YieldCo" and Origination Platform
- Market opportunity
- GCF and overall cash flow profile
- Idiosyncrasies around RADI's G&A treatment, and why the company may be "under-earning"
- Other topics
- Appendix:
- Earnings model and key assumptions
- Q&A
Please e-mail with any questions.
Rob Simone, CFA
Managing Director
Twitter: @HedgeyeREITs
