By LONDON – Assura plc, a prominent UK healthcare real estate investment trust (REIT), has concluded the sale of 12 properties, totaling £25 million in cash proceeds. The transaction aligns with the assets’ book value and will contribute to a partial repayment of the group’s revolving credit facility.
The completed sale is part of a broader disposal strategy that Assura embarked upon following its substantial £500 million private hospital portfolio acquisition in August 2024. The company is actively negotiating additional disposals expected to reach approximately £110 million. These discussions include a mix of portfolio sales and transfers of assets into a joint venture partnership previously announced.
Furthermore, Assura has identified a pipeline of 27 assets, valued at around £90 million, which fit the disposal criteria. Preliminary steps towards their potential sale have begun. This strategic move aims to decrease the company’s net debt to EBITDA ratio to below nine times and its loan-to-value (LTV) ratio to under 45% within the next 18 to 24 months.
Jonathan Murphy, CEO of Assura, expressed satisfaction with the recent transactions, highlighting their alignment with the book value and the attractiveness of the healthcare asset class they represent. He reiterated the importance of the August acquisition in diversifying Assura’s portfolio and emphasized the disposals program as a key element in the company’s commitment to reducing leverage post-acquisition.
Investors can expect a detailed update on Assura’s disposal program during the half-year results presentation scheduled for 14 November 2024.
This strategic divestment initiative is part of Assura’s ongoing efforts to optimize its portfolio and strengthen its financial position. The information provided is based on a press release statement from Assura.
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