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10/01/25

10:09

Post #: 77344852
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Originally posted by Tarvold: ↑

How did you arrive at HCW assets being around half made up by Healthscope?

HCW owns 4 Healthscope properties directly (100%) totalling $288.4m (approx 18% total assets) + a share of 7 through it's strategic investment in UHF.
Distributions from UHF LY represented approx 18% of total income ($79m) before fees & interest. (Assuming that's all from Healthscope assets?).

So I'd say your 50% income at risk estimate is too high & should be closer to 35%.

35% of $79m is $27.7, 20% reduction in rent is around $5.5m.
$5.5m is approx 12% LY DFO/distributions.

CY distributions 8.2c, so if 12% was lost due to new contracts on Healthscope assets that would reduce distributions to approx 7.2c.
7.2c at 95c unit price is a yield of 7.6%, a little high for a REIT but not massively so.

So IMO current unit price is probably around the right level to allow for Healthscope contracts to be defaulted on & resigned at a 20% discount. Assuming that's even correct.

Reports is the press suggest rival hospital operators are ready to step in should Healthscope go into administration.

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your calculation is incorrect but if it helps you convince buying then go for it

HCW Price at posting: 95.0¢ Sentiment: None Disclosure: Not Held
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(20min delay)
Last 79.0¢		Change 0.020(2.60%)		Mkt cap ! $433.2M

Open	High	Low	Value	Volume
76.5¢	80.0¢	75.0¢	$1.113M	1.419M

Buyers (Bids)

No.	Vol.	Price($)
9	38582	78.5¢

Sellers (Offers)

Price($)	Vol.	No.
79.0¢	540	3

View Market Depth

No.	Vol.	Price($)
15	61998	0.780
18	115665	0.775
7	48887	0.770
7	100817	0.765
8	257789	0.760

Price($)	Vol.	No.
0.790	61767	26
0.795	36919	13
0.800	94145	13
0.805	18171	4
0.810	10404	2

Last trade - 13.32pm 17/06/2025 (20 minute delay)

HCW (ASX) Chart

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