Brokers' take

RHT Health Trust | Hold Target price: S$0.81 June 14 close: S$0.765 CGS-CIMB, June 13

The execution of the master purchase agreement with Fortis Healthcare for the disposal of the entire asset portfolio of RHT Health Trust is still ongoing, subject to unitholders approval at an EGM (extraordinary general meeting), with a long stop date on end-Sept 2018.

The final consideration for RHT's asset portfolio is 46 billion rupees. Based on the earlier rupee/Singapore dollar exchange rate of 48.5 and taking into account repayment of RHT's external borrowings of S$237.9 million and settlement of transaction costs of S$15.8 million, the net proceeds would work out to be S$0.86/unit.