Carillion JV awarded £160 million contract

[idpickering]

I hold Carillion myself. Not the best of returns on the capital front, but what a dividend yield!

Carillion Joint Venture awarded £160 million contract for Phase 1A6 of the ONE CENTRAL Development by the Dubai World Trade Centre

"]Dubai World Trade Centre has awarded Al Futtaim Carillion (AFC) the contract to deliver Phase 1A6 of ONE CENTRAL, a major integrated real estate development located between the current Dubai International Convention and Exhibition Centre and Emirates Towers in the heart of the city's Central Business District.

This latest phase of the ONE CENTRAL development has a built-up area of 182,500 square metres and comprises two Grade A office buildings of 12 and 8 storeys. The contract, which is worth approximately £160 million, will begin in January 2017 and is scheduled for full completion at the end of 2018. AFC has already completed an earlier Phase 1A2 of this development, which is in the process of being leased and is currently delivering the contact for Phase 1A5, which was awarded in October 2015. This latest award takes the overall value of AFC's contracts for the ONE CENTRAL development to £400 million.

The ONE CENTRAL development is being designed to best-in-class quality standards and this phase will comprise international Grade A quality offices, which has achieved LEED® Gold precertification from the US Green Building Council - the industry benchmark for green building performance covering design, construction, operations and maintenance. The technology solutions and infrastructure being planned are aligned with the Dubai Government's Smart City strategic agenda, which was launched by Vice-President and Prime Minister of the UAE and Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum.

In welcoming the award, Carillion Chief Executive, Richard Howson, said: "We are delighted to have been selected for Phase 1A6, the third phase of the ONE CENTRAL development, where we continue to see good opportunities coming to market for which our capabilities and reputation for delivering to high standards of quality, safety and reliability are important to customers. We look forward to continuing our close relationship with Dubai World Trade Centre to deliver this important development"."

http://www.investegate.co.uk/carillion- ... 00202452T/

[Arborbridge]

I hold Carillion myself. Not the best of returns on the capital front, but what a dividend yield!

Indeed, Ian. The capital return has been up and down, as you can see in the table of "spot checks" from my own HYP results, below. CLLN is one of those shares from one of those sectors where you have to wonder whether they deserve a place in a HYP. Provided they don't crash and burn after a few years, I guess the answer is, they do. But like many things investment related, by the time you've found an answer it is too late.

[idpickering]

I hold Carillion myself. Not the best of returns on the capital front, but what a dividend yield!

Indeed, Ian. The capital return has been up and down, as you can see in the table of "spot checks" from my own HYP results, below. CLLN is one of those shares from one of those sectors where you have to wonder whether they deserve a place in a HYP. Provided they don't crash and burn after a few years, I guess the answer is, they do. But like many things investment related, by the time you've found an answer it is too late.

Morning Arb. Thanks for your input, and I couldn't have put it better than your good self. It is my intention to top up my CLLN holdings in Mar or Apr in order to average down my purchase price. But that forward yield of 8% almost seems like a 'yield to far', but I'll have one last dip of my toes with them.

Regards,

Ian.

[Raptor]

I wonder about CLLN, they are showing a forward forecast yield of 8.10% (last time I looked) and Luni would say danger zone. They consist of 7.44% of my portfolio (25 shares), giving 10.33% of income. Taking into account dividends received they are showing a "capital" loss for me of 16%. With these figures it is definitely a "leave and see" share for now.

Raptor.

[idpickering]

I wonder about CLLN, they are showing a forward forecast yield of 8.10% (last time I looked) and Luni would say danger zone. They consist of 7.44% of my portfolio (25 shares), giving 10.33% of income. Taking into account dividends received they are showing a "capital" loss for me of 16%. With these figures it is definitely a "leave and see" share for now.

Raptor.

Thanks for your input Raptor. They form only 3% of my HYP.

Regards,

Ian

[OLTB]

I bought into Carillion earlier this year (before committing to HYP, I dabbled a little with Globalarbtrader's formula in his link viewtopic.php?f=7&t=684 ) with a very small amount of cash and as stated above, capital value has sunk but dividend been promising. I have topped up again recently.

Cheers, OLTB.

[bonrepos]

I bought into Carillion 6 years ago this month on the basis of its good dividend history and high dividend.

It has continued to increase its dividend in the last 6 years so from that point of view it has been a success.

However the capital value is down 28.12% in that time. Taking the accrued dividends into account I have had
a total return on the original investment of 4.93% over 6 years which works out at 0.82% per year.

In this case it feels like having your original capital being repaid to you in instalments.

As with all investment a sense of humour is required.