Unveiling First REIT 2.0: Our New Growth Strategy slide image

Unveiling First REIT 2.0: Our New Growth Strategy

TRANSACTION SUMMARY & RATIONALE Transaction Summary (1) Full and Final Settlement of any and all claims which PT TPI may have against PT SK in respect of the Progress Payments, the Interests and the Project Expenses 26 To Receive Settlement fees and claims for the Terminated Development Works Agreement* with PT Saputra Karya ("PT SK"), an indirect wholly-owned subsidiary of PT Lippo Karawaci Tbk ("LPKR”) (*Works had been delayed since 2018 due to road subsidence and agreement was mutually terminated in June 2020) Aggregate settlement amount: S$30.6mm Comprising: • • Equivalent of S$27.0mm in progress payments, Equivalent of S$2.7mm in interest, and S$0.9mm in project expenses incurred, in relation to the Development Works Agreement Transaction Benefits 1 Immediately strengthens financial position Proposed Settlement will strengthen capital structure and allow capital recycling towards higher-growth areas: Proceeds may be used to repay debt, finance capital expenditure and asset enhancement works and/or to finance general corporate and working capital requirements (1) + 2 De-risks portfolio, ensuring greater focus and resilience Proposed Settlement puts a finality for the delayed project: Previously planned works to rejuvenate the mature asset, Siloam Hospitals Surabaya, have been delayed since late 2018. Restarting works will be complex and could cause further delays in obtaining cashflow from this facility For further details on the Proposed Settlement, please refer to Paragraph 5 of the announcement "Proposed Acquisition of 12 Nursing Homes Located in Japan and the Proposed Settlement in Respect of the Terminated Development Works Adjacent to Siloam Hospitals Surabaya" dated 8 December 2021 FIRST" REIT ASIA'S PREMIER HEALTHCARE TRUST
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