£50 million loan note extension

RNS Number : 7897U

The MedicX Fund Limited

03 August 2015

 

For immediate release                                                                                    

3 August 2015

MedicX Fund Limited

("MedicX Fund", "the Fund" or "the Company")

£50 million loan note extension

MedicX Fund Limited (LSE: MXF), the specialist primary care infrastructure investor in modern purpose-built primary healthcare properties in the United Kingdom and Ireland, announces that it has negotiated extended terms for the £50 million private placement of loan notes issued in two tranches during August and December 2014. The renegotiation was facilitated by the original loan note arranger Independent Debt Capital Markets.

The loan notes previously had a duration of five years maturing in August 2019, with an all-in interest rate of 3.80% per annum and no amortisation with the principal value due for repayment on maturity.

With effect from 1 August 2015, the Fund has agreed with the note holder that the loan notes will be reissued with an extended duration and maturity scheduled for December 2028. The all-in fixed interest rate will be reset to 3.99% per annum from the same date. No break costs or arrangement fees are payable by the Fund on modifying the term and coupon of the loan notes. Other features of the arrangement remain unchanged, with the same covenants and properties secured against the funds.

Including this modified facility and the second draw down of the new facility announced on 1 May 2015, the average all-in fixed rate of the Fund's debt has increased from 4.42% to 4.45% and the average unexpired term has extended from 13.8 years to 15.1 years.

David Staples, Chairman said, "We are pleased to have agreed the term extension on our first loan note facility. The new terms compare well with alternatives currently available from bank lenders and are significantly more attractive than were available in August 2014 when the loan notes were originally issued. This debt further extends the average life of the Fund's borrowings and allows us to execute on our successful strategy of locking into low fixed interest rates for the long term when market rates allow".

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For further information please contact:

MedicX Fund                                                                   [phone]

David Staples, Chairman

Octopus Healthcare Group                                               [phone]

Mike Adams, Chief Executive Officer

Mark Osmond, Chief Financial Officer

Buchanan                                                                        [phone]

Charles Ryland/Victoria Watkins

Information on MedicX Fund Limited

MedicX Fund Limited ("MXF", the "Fund" or the "Company", or together with its subsidiaries, the "Group") is the specialist primary care infrastructure investor in modern, purpose-built primary healthcare properties in the United Kingdom, listed on the London Stock Exchange, with a portfolio comprising 143 properties.

The Investment Adviser to the Company is Octopus Healthcare Adviser Ltd, which is authorised and regulated by the Financial Conduct Authority and is a subsidiary of the Octopus Healthcare Group. The Octopus Healthcare Group is a specialist investor, developer and manager of healthcare properties with 38 people operating across the UK.

The Company's website address is www.medicxfund.com.  Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website), nor the contents of any website accessible from hyperlinks within this announcement, are incorporated into, or forms part of, this announcement.

 

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