RHT Health Trust is asking holders of $120 million of 4.5 per cent notes due Jan 22, 2019 for a six-month extension to the notes' maturity date to accommodate delays in its asset sale to Fortis Healthcare.
RHT Health Trust, a business trust that operates India-based healthcare assets, is seeking noteholders' consent to push the maturity date to July 22, 2019, with redemption at maturity set at 100.45 per cent of the principal amount. Consenting noteholders will receive a one-time 1 per cent consent fee.
Repayment of the notes was to be funded by the sale of RHT Health Trust assets to Fortis Healthcare. However, due to a delay in the buyout of Fortis Healthcare by IHH Healthcare Bhd, the purchase agreement between Fortis and RHT Health Trust would consequently be delayed, with the long-stop date now set at March 26, 2019. As the asset sale to Fortis is unlikely to be completed by Jan 22, RHT Health Trust is seeking to extend the notes' maturity.
The meeting to seek noteholders' consent will take place on Jan 21. DBS and UOB are acting as joint solicitation agents.
RHT Health Trust shares traded at $0.72 when the market opened on Jan 4.