2016

Disposal of German property interests

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Disposal of German property interests

On 10 March 2016, PSPI announced that it has exchanged conditional contracts to dispose of its three remaining properties leased to the Marseille Kliniken Group (“MK”) for an aggregate gross price of €10.0 million. The sales were executed with subsidiaries of MK, were concluded under German law and are expected to close within six weeks on completion of re-registration of the properties in the appropriate land registry and after registration of charges in favour of the purchasers’ lender. The sales were concluded at a discount of 2.0 per cent. to the independent net value of the assets used in preparing the Company’s unaudited consolidated results as at 30 June 2015.

Approximately €4.1 million of the sale proceeds will be used to repay senior debt secured against the three properties and approximately €0.2 million will be used to settle pre-payment penalties under an interest rate swap agreement with the senior lender. The Group will apply the net sale proceeds to settle transaction costs (estimated at €0.4 million) with the balance to be used for general working capital purposes. The transactions will complete the sale of the Company’s remaining investment properties held in all jurisdictions.

Patrick Hall, the Chairman of PSPI, reports that: “The Company is pleased to announce the conditional disposal of the last investment properties after a period of careful negotiation. The Company will make an announcement on a further return of capital once the transactions have settled.”

Smith Square Partners acted as financial adviser to PSPI.

For further information please visit www.pspiltd.com or call:

Dr. D. Srinivas
Ralph Beney
RP&C International
(Asset Manager)
020 7766 7000

Ben Mingay
Sylvester Oppong
Smith Square Partners
(Financial Adviser)
0203 696 7260

Tom Griffiths
Henry Willcocks
Stockdale Securities
(Nomad and Broker)
020 7601 6100

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