30 Aug 2013 | 10:42 am |
International law firm Pinsent Masons has advised CareTech Holdings PLC (CareTech), a leading UK provider of specialist social care services, on the refinancing of its £176 million of loan facilities and the purchase of two property portfolios, comprising in total 29 freehold properties for £38 million.
CareTech acquired 28 of freehold assets from The Quercus Healthcare Property Partnership for a cash consideration of £29.5 million. In addition, the company acquired a property in Plymouth from Roborough Properties for £6.5 million.
The properties are currently occupied leasehold by CareTech, and the acquisition will save the group substantial costs in rental charges over the lifetime of the historic leases.
The Pinsent Masons team advising on the deal was led by banking partner Vanessa Heap assisted by Anaïs Spacey, Kate Hardwidge (Banking) and Tom Eastwood (Property).
Farouq Sheikh, CareTech’s Executive Chairman, said:
“The opportunity to acquire these 29 properties at this price is compelling. The immediate benefit to the Group of replacing a rent cost of £4.4m per annum with interest costs of £1.6m will be immediately earnings enhancing. Furthermore, we now have much greater flexibility to reconfigure and upgrade the properties in line with our strategy for enhancing fee rates whilst offering the highest quality of care.”
Commenting on the deal banking partner, Vanessa Heap, said: "We are very pleased to have advised CareTech on both the acquisition transaction and, simultaneously, on refinancing its bank Facilities to fund the acquisition. CareTech is a long-standing client of the Firm and we are delighted to be able to assist CareTech with this important transaction."
International law firm Pinsent Masons has advised global energy company BP on its investment in energy management tech specialist R&B
Pinsent Masons continues to expand its Competition, EU & Trade Group, with the appointment of competition law specialist, Prof. Dr. Hans Jürgen Meyer-Lindemann, as a partner in the Düsseldorf office.
International law firm Pinsent Masons has advised HZI on the development of the A$511 million East Rockingham Resource Recovery Facility in Western Australia
International law firm Pinsent Masons has appointed Ian Laing to lead its global infrastructure team.
Multinational professional services business Pinsent Masons has won a hat-trick of awards at the Legal Week British Legal Awards in London.
International law firm Pinsent Masons is pleased to announce that Finance & Projects partner, Jim Hunwick, is joining the firm's Australia practice in Sydney.
For all media enquiries, including arranging an interview with one of our spokespeople, please contact the press office on