OREANDA-NEWS. Fitch Ratings has withdrawn the ratings on Theatre (Hospitals) No. 1 Plc and Theatre (Hospitals) No.2 Plc as the agency no longer has sufficient information to maintain the ratings. Accordingly, Fitch will no longer provide ratings or analytical coverage for these issuers.

KEY RATING DRIVERS

Fitch lacks sufficient information to monitor the operational performance of the portfolio of hospitals and does not expect to receive any such information going forward. As a result, it is not possible to maintain the ratings on the class C and D notes. Fitch also notes that the transactions are in an advanced stage of undergoing a material restructuring of their respective capital structures.

The ratings are withdrawn at the following levels.

Theatre (Hospitals) No.1 plc:
GBP48.4m class C notes: 'B+'; Negative Outlook
GBP48.4m class D notes: 'B'; Negative Outlook

Theatre (Hospitals) No.2 plc:
GBP32.3m class C notes: 'B+'; Negative Outlook
GBP32.3m class D notes: 'B'; Negative Outlook

SUMMARY OF CREDIT

The transactions are securitisations of loans to property-owning entities (the propco) secured on 35 private hospitals operated by BMI, the acute private hospital division of General Healthcare Group (GHG). The propco's principal source of repayment under the term loan is the net rent received under leases payable by tenants operating within BMI. BMI is the largest independent provider of private patient care in the UK, operating a total of 72 hospitals with over 3,000 beds. Both issuers are identical in structure and their notes rank equally with one another.