Public Service Properties has reported its interim results for the six months ended 30 June 2015. The NAV at 30 June 2015 was 49.1p.
In March 2015 the Company completed the disposal of its investment in the UK healthcare sector with the sale of companies, businesses and assets at a gross sale value of approximately £34.5m with £2.5m deferred until 31 December 2015 to the Embrace Group. Initial net proceeds of £14.2m were received after repayment of debt secured against the UK assets of £16.3m, taxation and transaction costs.
In April 2015 the Company completed a compulsory partial redemption of shares on a pro-rata basis at a price of 23.875p per share, returning approximately £16.1m to shareholders.
Two German care home properties were sold in January 2015 and July 2015 for gross disposal proceeds of €7.9m(£5.6m). The sale announced on 9 July 2015 completed on 1 September 2015.
Public Service Properties now owns four care homes in Germany which were independently valued at 30 June 2015 at €13.8m (£9.7m) and which generate gross rental income of €1.6m a year. Senior debt of €4.2m is secured against three of the retained properties. They say they will continue to test the market in respect of the remaining properties in Germany. There are ongoing discussions which may result in the disposal of some or all of the assets which the Company will announce as appropriate. The Board will consider further distributions to shareholders later this year.
PSPI : Public Service Properties in talks to sell remaining assets