Presale Report: St James's Oncology Financing PLC

U.K.-based limited-purpose entity St. James's Oncology Financing PLC (the Issuer) is proposing to issue £208 million of senior secured fixed-rate debt and £60 million of index-linked debt, both fully amortizing and due March 31, 2037. The Issuer will on-lend the proceeds of the issuance to St. James's Oncology SPC Ltd. (ProjectCo) to refinance £183 million of existing debt, meet transaction and breakage costs (about £50 million) and to pay a £35 million refinancing gain to the Leeds Teaching Hospitals NHS Trust (the Trust) and shareholders. ProjectCo was created to finance, design, build, and operate a new 350-bed oncology wing (the Bexley Wing) for St. James's University Hospital in Leeds. The project is backed by a 33-year and two-month agreement with

...U.K.-based limited-purpose entity St. James's Oncology Financing PLC (the Issuer) is proposing to issue ú208 million of senior secured fixed-rate debt and ú60 million of index-linked debt, both fully amortizing and due March 31, 2037. The Issuer will on-lend the proceeds of the issuance to St. James's Oncology SPC Ltd. (ProjectCo) to refinance ú183 million of existing debt, meet transaction and breakage costs (about ú50 million) and to pay a ú35 million refinancing gain to the Leeds Teaching Hospitals NHS Trust (the Trust) and shareholders. ProjectCo was created to finance, design, build, and operate a new 350-bed oncology wing (the Bexley Wing) for St. James's University Hospital in Leeds. The project is backed by a 33-year and two-month agreement with the Trust, which was signed in October 2004 and expires in December 2037. Construction of the facilities was completed by Lend Lease Construction (EMEA) Ltd in December 2007, and the project is consequently not exposed to construction risk....

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