The Board of Directors of Impact Healthcare REIT plc (ticker: IHR), the real estate investment trust which gives investors exposure to a diversified portfolio of UK healthcare real estate assets, in particular care homes, is pleased to announce that the Group has successfully agreed an increase in the size, an extension to the term and a reduction in the margin of its existing revolving credit facility (“RCF“) with Clydesdale Bank PLC trading as Virgin Money.

The revised facility has been increased from £25 million to £50 million and extends the maturity to December 2029, from March 2024. This increases the Group’s weighted average term of debt from 6.2 to 6.9 years, providing financing aligned to the Group’s long-term income stream and reduces the Group’s exposure to debt expiring in the next three years to £15 million, being the remainder of the Metro Bank term debt.

The revised facility has an improved margin of 200 basis points over SONIA, down from 225 basis points on the original facility.

Overall, this increases the Group’s debt facilities from £216 million to £241 million, of which £142.3 million is currently drawn.  £100 million or 70% of the Group’s drawn debt is currently hedged. LTV at 30 September 2022 was 21.4% and is currently 22.8% on a roll-forward basis¹.