Religare Health Trust 1 st Annual General Meeting. 25 th July 2013

Transcription

1 Religare Health Trust 1 st Annual General Meeting 25 th July 2013

2 Disclaimer This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, competition from other developments or companies, shifts in expected levels of income and occupancy rate, changes in operating expenses (including employee wages, benefits and training), governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business. Investors are cautioned not to place undue reliance on these forward-looking statements. The Indian Rupee and Singapore Dollar are defined herein as INR and S$ respectively. Any discrepancy between individual amounts and total shown in this presentation is due to rounding. 2

3 Outline Overview Milestones Review of FY 13 Strategy 3

4 Portfolio Overview 10 Cities 11 Clinical Establishments 2 Operating Hospitals 4 Greenfield Clinical Establishments 4

5 17 Quality Assets Geographically Diversified Across India Approximately 4.1 million sq ft of built-up area across 10 states Sizeable Population Catchment Located Close to Major Transportation Nodes : RHT Clinical Establishments : Greenfield Clinical Establishments : Operating Hospitals Notes: (1) No. of beds and installed capacities as of March 31, Potential bed capacity assumes all planned phases of development and construction are completed in respect of the Greenfield Clinical Establishments Amritsar 153 Operational Beds 166 Installed Bed Capacity Ludhiana 75 Potential Bed Capacity Gurgaon 450 Operational Beds 1,000 Installed Bed Capacity Faridabad 210 Operational Beds 210 Installed Bed Capacity Jaipur 207 Operational Beds 320 Installed Bed Capacity Mumbai, Kalyan 44 Operational Beds 52 Installed Capacity Mumbai, Mulund 236 Operational Beds 567 Installed Bed Capacity Bengaluru, Rajajinagar 31 Operational Beds 51 Installed Bed Capacity Bengaluru, Nagarbhavi 45 Operational Beds 45 Installed Bed Capacity New Delhi, Shalimar Bagh 130 Operational Beds 350 Installed Bed Capacity Noida 191 Operational Beds 200 Installed Bed Capacity Greater Noida 350 Potential Bed Capacity Bengaluru, BG Road 239 Operational Beds 255 Installed Bed Capacity Kolkata 183 Operational Beds 373 Installed Bed Capacity Hyderabad 400 Potential Bed Capacity Chennai, Malar 170 Operational Beds 178 Installed Bed Capacity Chennai 45 Potential Bed Capacity 5

6 Diversified Healthcare Portfolio Positioned for Growth Substantial Portion of Initial Portfolio Comprise Long Term Lease / Freehold Land (% of Initial Portfolio Valuation) Focus on Provision of High End Healthcare Services (% of Initial Portfolio Valuation) Freehold 60.3% Weighted Average Lease Life of Leasehold Assets of ~58 Years (1) 32.9% Quaternary Tertiary (2) 63.7% >50 Years Remaining Lease Life 26.1% <50 Years Remaining Lease Life 13.7% 3.5% Secondary Notes: (1) Weighted by asset valuation. (2) Includes Secondary/Tertiary Services. 6

7 11 Clinical Establishments AMRITSAR FARIDABAD 7

8 11 Clinical Establishments JAIPUR BG ROAD, BENGALURU 8

9 11 Clinical Establishments NOIDA SHALIMAR BAGH, NEW DELHI 9

10 11 Clinical Establishments GURGAON 10

11 11 Clinical Establishments KOLKATA MALAR, CHENNAI 11

12 11 Clinical Establishments MULUND, MUMBAI KALYAN 12

13 2 Operating Hospitals NAGARBHAVI, BENGALURU RAJAJINAGAR, BENGALURU 13

14 Agenda Overview Milestones Review of FY 13 Strategy 14

15 Gurgaon CE Launch Inaugurated On May 1 st 2013 by Actor philanthropist Mr Salman Khan The facility would have core specialiaites in Oncology, Mother and Child and Trauma alongside speciailities in Cardiac, Transplants (Bone Marrow has started) and Neurosciences The current capacity is 450 beds (Phase I) that will be taken up to 1000 beds over time. All relevant staff to manage the 450 beds, including doctors and nurses, have been hired. Collaboration announced with Being Human an NGO sponsored by Mr Salman Khan to treat 500 children with heart ailments free of cost. RHT would also be giving space to the charity to set up a store at the hospital free of cost as part of its CSR initiatives.

16 Gurgaon Clinical Establishment Night view 16

17 Gurgaon Clinical Establishment Internal Boulevard 17

18 Gurgaon Clinical Establishment Paediatric Section 18

19 Awards and accolades Fortis Hospital, Bannerghatta Road (BG Road), Bengaluru, has been ranked No. 4 on the 2013 World's Best Hospitals list for Medical Tourists. The hospital has been recognised for the fourth consecutive year by the Medical Travel Quality Alliance (MTQUA). 19

20 Agenda Overview Milestones Review of FY 13 Strategy 20

21 Review of FY 13 Results FY 13 YTD (S$ 000) FY 13 F* (S$ 000) Variance (%) Total Revenue 49,627 48, Net Service Fee and Hospital Incomeˆ 29,463 30,280 (2.7) Distribution 20,145 20,094 (1.6) DPU based on Common Units (cents) (1.6) * The forecast figures are extracted from the prospectus dated 15 October 2012 and pro-rated for the period from 19 October 2012 (Listing Date) to 31 March 2013, except for share of results of associates, issue expenses and portion of finance expenses incurred by RHT Group for the period from 1 April 2012 to the Listing Date, which are not pro-rated. Exchange rate for FY13F was 1S$ = INR ˆ Net Service Fee and Hospital Income is derived using the Total Revenue less Total Service Fee and Hospital expense. Exchange rate for FY13 YTD was 1S$ = INR 21

22 Operator Fortis Healthcare Limited Category wise Total Capacity Operational Beds No. of Hospitals Owned 4,835 2, Managed 2,050 1, Projects 3, Grand Total 10,825 3, Fortis Healthcare Limited Corporate Presentation, August

23 Fortis Healthcare An Integrated Healthcare Delivery Company in India: A leading presence in India Presence across the healthcare value chain from Primary Care -> Specialty Care - > Diagnostics -> Day Care -> Secondary / Tertiary / Quaternary Care. Leadership in specialties such as Cardiac Sciences, Neuro Sciences and Orthopaedics. Proven ability to acquire, integrate and turn around. 23

24 Agenda Overview Milestones Review of FY 13 Strategy 24

25 Market and Sector Update Delhi Development Authority hiked FAR of hospitals by 25-50%. This would have an impact on the Shalimar Bagh hospital, potentially allowing for an increase in number of beds The Indian Hospital sector continues to attract foreign investments. Since 1 st of January 2013, Temasek Holdings invested S$32 million in Bengaluru based cancer provider HealthCare Global Entreprises. International Finance Corporation and Sabre Partners invested S$62.2 million between both of them in Global Hospitals. Sequoia invested S$11 million in ASG Eye Hospital.

26 Hedging our Foreign Exchange exposure Hedging fully done for the forthcoming 2 distributions in November 2013 and May Average contracted rate for FY14 is S$1=INR

27 Low Gearing 45.0 RHT has the lowest gearing (%) amongst its peers Wtd Avg: Source: Standard Chartered Research Report 10 June 2013, (*Not under SCB coverage) 27

28 Millions (SGD) Significant Debt headroom % Cap S$411 mil S$411 Debt headroom of S$411million before reaching gearing ratio of 40% Current Debt S$65 S$65 mil DEBT Current Gearing ratio: 9% 28

29 Market Performance of RHT viz FTSE Indices (rebased 19 Oct 2012 to 23 July 2013) Source : Bloomberg

30 Clear Growth Strategy Capacity Expansion Four running projects for capacity expansion Additional 200 beds Growth Strategy ROFR Assets Right of first refusal assets Potential acquisition targets Third Party Potential Acquisitions 30

31 Capacity Expansion- Update RHT has four running projects for capacity expansion, which will add 200 beds post completion Name of Project Anandpur, Kolkata Rajajinagar, Bengaluru Nature of Project Expansion work at 10 th & 9 th Floor, IVF & PHC. Addition of 80 Beds. Leased Brown Field expansion. Addition of 20Beds. Additional Bed Capacity Total Cost (S$ m) Jaipur Expansion work at 7 th Floor, IVF & PHC. Addition of 21Beds BG Road, Bengaluru Addition of 79 ICU Beds in two phases Total Note (1) Converted to S$ from INR at S$1 = INR (31 march 2013) 31

32 Religare Health Trust 1 st Annual General Meeting 25 th July 2013