The Board of Directors of Impact Healthcare REIT plc (ticker: IHR), the real estate investment trust which gives investors exposure to a diversified portfolio of UK healthcare real estate assets, in particular care homes, is pleased to announce a trading update and that the Group has signed a new revolving credit facility of £50 million (the “Facility“) with HSBC UK Bank plc (“HSBC“).
The Group confirms that, as at 3 April 2020, it had received 100% of the rent due in respect of the forthcoming period from its tenants who operate care homes, which represents 98.3% of the Group’s total rent roll. The rent due from NHS Cumbria, which represents the remaining 1.7% of the Group’s total rent roll, is expected to be paid later in the month as usual.
Of the total rent due this month, 90.5% is rent paid quarterly in advance and 9.5% is rent paid monthly in advance. The Group’s total annualised rent roll as at 1 April 2020 is £24.9 million.
New bank facility
The £50m Facility is for an initial term of three years with an option to extend, subject to lender approval, for up to a further two years. The Facility has a margin of 195 basis points per annum over three-month LIBOR. £34.5 million can be immediately drawn down under the Facility, and £15.5 million is conditional on security registration of Scottish assets and the completion of transactions which have exchanged.
The Facility takes the Group’s total committed facilities to £125 million, of which £26 million is currently drawn.
This Facility will help to ensure that the Group continues to be well capitalised and increases balance sheet resilience:
The Facility will help the Group to continue to manage its capital structure in line with its investment policy in a flexible manner and will support the Group with its future growth plans. However, the Group has no plans to drawdown more debt than is required to finance the existing outstanding commitments outlined above until the impact of the COVID-19 pandemic is clearer.
The Company is continuing to monitor carefully the development of COVID-19 and will keep shareholders updated with material developments as they affect the Company as the situation evolves.
For further information please contact:
Impact Health Partners LLP via Maitland/AMO
Winterﬂood Securities Limited
Tel: 020 3100 0000
RBC Capital Markets
Tel: 020 7653 4000
Maitland/AMO (Communications Adviser)
Tel: 020 7379 5151
The Company’s LEI is 213800AX3FHPMJL4IJ53.
Further information on Impact Healthcare REIT is available at www.impactreit.uk.