LONDON (Alliance News) - Medicx Fund Ltd Monday said the value of its portfolio increased over the first-quarter of its financial year, resulting in an increase in its net asset value since the end of September, while it also expects to increase its dividend for the year.
In an interim management statement for the fiscal first-quarter to end-December, the company said it expects to increase its dividend for the year by 0.1 pence to 5.8 pence, if unforeseen circumstances don't cause disruption.
Its portfolio was valued at GBP457.4 million at the end of December, which reflects a net initial yield of 5.78%. That yield resulted in a GBP400,000 gain during the quarter as a GBP500,000 increase in its capital value was offset by GBP100,000 of so-called purchaser costs write offs.
The company said its unaudited adjusted net asset value rose to about GBP217.8 million at the end of December, equivalent to 64.5 pence a share, from 63.1 pence a share at the end of Deptember. On the same basis, the unaudited adjusted net asset value plus the mark to market benefit of fixed rate debt is estimated to be GBP243.2 million, equivalent to 71.6p per share, compared with 69.4p per share at the end of September.
Meanwhile, MedicX Fund, which invests in healthcare infrastructure such as medical centres and surgeries, said it is seeking to deploy the GBP47.6 million of net proceeds raised from October's fundraising "quickly".
"The fund is seeking to deploy the proceeds quickly into appropriate primary healthcare property investments whilst maintaining the quality of its portfolio and targeting investments that will generate long term income and good returns for shareholders," the company said in a statement.
The company also managed to increase rents and leases it charges.
"Since October 1, ten leases and rents of GBP700,000 were reviewed and the equivalent of a 1.4% per annum increase was achieved," the company said.
MedicX Fund shares were Monday quoted at 78.18 pence, down 0.82 pence, or 1.0%.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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