Medical Properties Trust to sell three Connecticut hospitals for $457M

Medical Properties Trust (NYSE:MPW) has agreed to sell three Connecticut hospitals to Prospect Medical Holdings for a total sale price of $457M, the approximate amount that the company paid for the three hospitals in August 2019, it said on Thursday.
Prospect is the current lessee of the hospitals and has made timely payments of all rent under the leases totaling ~$104M, MPW said. Separately, Yale New Haven Health agreed to acquire the hospital operations from Prospect in a simultaneous transaction.
Medical Properties Trust (MPW) plans to use the proceeds to reduce debt and to fund select acquisition and other investment opportunities. Combined with other recent transactions, the medical REIT will have sourced more than $1B of immediately available liquidity, the company said.
The sale of the three Connecticut hospitals is expected to close in 2023 and is conditioned upon the completion of Yale's acquisition of the hospital operations from Prospect.
MPW stock has slipped 0.3% in Thursday premarket trading.
In August, Medical Properties (MPW) announced an agreement to sell a majority stake in Springstone Health Opco for ~$250M.