MPT Completes the Acquisition
of 11 German Rehabilitation
Hospitals Operated by RHM Klinik
for $248 Million
Medical Properties Trust, Inc. has completed the acquisition of 11 rehabilitation hospitals operated across Germany by RHM Klinik-und Alterheim-betriebe GmbH & Co. ("RHM") for approximately $248 million (based on a EUR/USD exchange rate of 1.35).
The transaction - MPT's first outside the United States - closed at the end of November, with MPT taking possession of the real estate assets on December 1st. According to MPT Chairman and CEO Edward K. Aldag, Jr., "This acquisition is fully aligned with our long-term strategy to diversity our portfolio while remaining focused on hospital investments."
"We believe that increasing our exposure to positive global trends adds a dynamic new layer of diversity to our portfolio and significantly increases our acquisition pipeline opportunities," added Mr. Aldag, who noted that Germany has a strong, stable economy, low unemployment rates and a comprehensive health insurance program that covers all of its citizens.
The RHM portfolio that MPT acquired consists of nearly 1,800 rehabilitation beds with average occupancy rates significantly above the average rates for German rehabilitation clinics. Based in Deidesheim, Germany, RHM is owned by Waterland Private Equity Investments, a leading European private equity firm, which will maintain its operational ownership. RHM has what
Mr. Aldag describes as "a track record of operational excellence."