Medical Properties Trust raised earnings outlook, announces deal to sell an interest in 8 hospitals for a premium

Shares of Medical Properties Trust Inc. MPW, +1.73% roseate 0.6% successful premarket trading Wednesday, aft the existent property concern spot announced a woody to merchantability an involvement successful acute attraction hospitals it owns and raised its net outlook. The REIT (MPT) said it reached an statement with Macquarie Infrastructure Partners V (MIP V) to signifier a concern successful which an MIP V subsidiary buys a 50% involvement successful 8 Massachusetts-based hospitals presently owned by MPT and operated by Steward Health Care System, successful a woody that values the portfolio astatine $1.78 billion. "This transaction's portfolio valuation is simply a 48% summation implicit our archetypal concern successful these hospitals made successful 2016, and the compelling worth instauration reflects the spot of MPT's underwriting process, which allows our squad to place operators and strategies that are apt to effect successful semipermanent and sustained betterment successful operating results," said Medical Properties Trust Chief Executive Edward Aldag. Separately, MPT said based connected year-to-date transactions, it raised its guidance for yearly nett income to $1.81 to $1.85 per stock for normalized funds from operations, from $1.72 to $1.76. MPT's banal has mislaid 6.0% twelvemonth to day done Tuesday, portion the SPDR Real Estate Select Sector ETF XLRE, +0.27% has soared 30.4% and the S&P 500 SPX, +0.19% has precocious 20.4%.