The MedicX Fund Limited Acquisition - primary healthcare centre in Ireland (0956G)

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RNS Number : 0956G

The MedicX Fund Limited

24 May 2017

For immediate release

24 May 2017

MedicX Fund Limited

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

Acquisition of new primary healthcare centre in Ireland

MedicX Fund, (LSE: MXF), the specialist primary care infrastructure investor in modern, purpose-built, primary healthcare properties in the United Kingdom and Ireland, is pleased to announce the Company's fourth acquisition in Ireland having contracted to acquire, by way of forward funding, a new primary healthcare medical centre in Tallaght, Dublin 24. This is the second scheme being developed under the Framework Agreement with Feasible Developments and the property is due to be completed in December 2017.

Upon completion, the building will be let to a number of GPs, the Health Service Executive (the Irish NHS equivalent) and a pharmacy operator. The GP and Health Service Executive leases will be for a term of 25 years from practical completion and the pharmacy term will be 15 years. The rent for all tenants is subject to five-yearly CPI reviews. The total acquisition cost of the property is approximately EUR15.5 million.

It remains the belief of Octopus Healthcare Adviser and the Board that Ireland offers good yields for quality properties let on long leases, generating principally government backed income and making Irish healthcare property opportunities an attractive fit with MedicX Fund's investment objective.

The acquisition will be part funded through borrowings drawn in Euros from a recently agreed facility with the Bank of Ireland, thereby providing a partial natural hedge against the Group's Euro denominated assets. The new facility initially provides development finance at a margin of 4% over EURIBOR which then reduces to 3% once the asset reaches practical completion and the facility becomes a five year term loan.

The MedicX Fund's total property portfolio comprises 157 properties throughout the United Kingdom and Ireland of which 152 are operational and fully let, with five under construction. The annualised rent roll for all properties is now GBP40.0 million.

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For further information please contact:

   MedicX Fund                                                                  [phone] 

David Staples, Chairman

   Octopus Healthcare Group                                                [phone] 

Mike Adams, Chief Executive Officer

   Canaccord Genuity                                                          [phone] 

Andrew Zychowski/Helen Goldsmith

   Buchanan                                                                      [phone] 

Charles Ryland/Victoria Hayns

Information on MedicX Fund Limited

MedicX Fund Limited (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 and Ireland, listed on the London Stock Exchange, with a portfolio comprising 157 properties.

The Investment Adviser to the Company is Octopus Healthcare Adviser Ltd, which is part of the Octopus Healthcare group. Octopus Healthcare invests in and develops properties as well as creating partnerships to deliver innovative healthcare buildings to improve the health, wealth and wellbeing of the UK. It currently manages over GBP1 billion of healthcare investments across a number of platforms, with a focus on five core areas: GP surgeries, care homes, special education schools, retirement housing and private hospitals. Octopus Healthcare is part of the Octopus group, a fast-growing UK fund management business with leading positions in several specialist sectors including healthcare property, energy, property finance and smaller company investing. Octopus manages GBP6 billion of funds for more than 50,000 retail and institutional investors.

Octopus Healthcare Adviser Ltd is authorised and regulated by the Financial Conduct Authority.

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.

The Company's Legal Entity Identifier is 2138008POF35FTNFCB25.

This information is provided by RNS

The company news service from the London Stock Exchange

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May 24, 2017 05:00 ET (09:00 GMT)