Private hospital operator BMI Healthcare has completed its ownership transfer to Hospital Topco Limited (HTL), the parent company of the landlords to 35 BMI Healthcare hospitals.
The deal, first announced in October, sees BMI Healthcare receiving a capital injection of around £60m from HTL, a rent reduction of £65m a year from the 35 HTL-owned hospitals, and an extension of its senior banking facilities for a further five years to 2023.
The transaction will also result in obligations in excess of £500m being extinguished from the BMI Healthcare group’s balance sheet.
The recapitalisation will enable a £250m capital investment programme to be implemented over the next four years. This will deliver new equipment to hospitals and accelerate the reconfiguration and refurbishment of the group’s estate.
Dr Karen Prins, chief executive of BMI Healthcare, said the recapitalisation has already allowed BMI to start to deliver new equipment and will provide further infrastructure for consultants and staff to continue to provide the best care to our patients.
“The new investment, together with the current structure and facilities BMI has in place, will enable us to strengthen our market leading position, and we are very excited about the future,” she stated.