North America Real Estate - Operations and Strategy
| UPDATE: HCP CEO foresees spike in health care deal volume in 2010 |  |
November 03, 2009 2:08 PM ET
By John Yellig
|  Related Companies | Related Documents | Related Articles |
The health care sector is set to go through a big shakeup over the next year, and HCP Inc. is positioned to capitalize on the flux, Chairman, President and CEO James Flaherty III said during the company's Nov. 3 third-quarter earnings call. "The reopening of the capital markets, coupled with the expected near-term passage of health care reform, has set in motion an unprecedented volume of strategic and capital market activity that will likely result in health care deal volumes for the first six months of 2010 exceeding their aggregate levels for the 36 months ending Dec. 31, 2009," Flaherty said. "The favorable impact of this activity on HCP cuts across our entire portfolio and is likely to redefine our company in the period ahead." HCP's opportunities will manifest themselves in several ways as market valuations of HCP-owned investments increase in value, Flaherty said. "As our operator tenants seek to recapitalize their balance sheets, HCP consent rights and other deal protections will be monetized in the form of additional fee income and/or the improved structuring of our existing investments," the CEO said. | 
Add to Library