Medical Properties talks $450 million 10-year notes with 6¾%-7% yield

By Paul A. Harris

Portland, Ore., April 18 - Medical Properties Trust, Inc. talked its $450 million offering of 10-year senior notes (Ba2/BB/) with a 6¾% to 7% yield on Monday, according to a market source.

The Rule 144A and Regulation S with registration rights deal is set to price on Tuesday.

J.P. Morgan Securities LLC, Merrill Lynch, Deutsche Bank Securities Inc. and RBC Capital Markets are the joint bookrunners.

KeyBanc Capital Markets is the senior co-manager. BBVA Securities, Morgan Keegan, Raymond James and SunTrust Robinson Humphrey Inc. are the co-managers.

The notes come with five years of call protection.

Proceeds will be used to repay and terminate the trust's $15 million term loan, as well as to repay its revolving credit facility.

The trust will also use proceeds to repay and terminate its $9 million term loan collateralized by its rehabilitation hospital in Wichita, Kan., and to repay and terminate its $150 million term loan and $9 million collateralized term loan.

In addition proceeds will be used for general business purposes, which may include investment opportunities and debt reduction.

The issuing entities are MPT Operating Partnership, LP, the operating partnership, and MPT Finance Corp., a subsidiary of the Birmingham, Ala.-based real estate investment trust that acquires and develops net-leased health-care facilities.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.