Contract

FOR IMMEDIATE RELEASE 4 APRIL 2017

Circle Holdings plc

(the "Company" or "Circle")

Circle signs contracts for new Circle Birmingham hospital construction

Circle Holdings plc (LSE: CIRC) today announces that the Group has entered into agreements with affiliates of Medical Properties Trust Inc. ("MPT"), a listed US-based real estate investment trust (NYSE: MPW), for the financing and development of Circle's next state-of-the-art hospital in Birmingham.

The facility will be developed within the old Pebble Mill site in Edgbaston, Birmingham, which is currently being developed more broadly by Calthorpe Estates to become a leading healthcare campus.

Under the terms of the agreements, Circle will sell its long-term lease on the Birmingham plot to an affiliate of MPT for £2.7 million and MPT will develop a 39-bed, 6,500 sqm2 acute care facility to be operated by Circle, with scope to expand to a six-theatre hospital. Construction of "Circle Birmingham" is expected to commence within four weeks, with practical completion scheduled for Q4 2018. Upon completion, Circle will enter into a 15-year full repairing and insuring lease with MPT for the facility, which may be extended at Circle's option for up to three additional 5-year terms (the "Lease"). Circle expects to commence treating patients at Circle Birmingham towards the end of 2018 / early 2019.

The total development costs for the facility are anticipated to be approx. £32.3m (inc. VAT). Under the terms of the Lease, Circle will provide MPT with a cash deposit equal to one-year's rent, half of which will be released once Circle Birmingham delivers two consecutive quarters of an EBITDAR-to-rent ratio of 1.75 or greater.

Circle and MPT are currently considering proposals to expand the facility to include a separate rehabilitation wing to be operated by Circle's recently formed joint venture with VAMED Management und Service GmbH.

Paolo Pieri, CEO of Circle Holdings, said:

"This is an exciting step forward for Circle to further scale its hospital operations in the UK. Circle has a track record of building amazing facilities for the benefit of its patients, staff and clinicians. This facility will have state-of-the-art technology and we expect it to be the first new build hospital to integrate leading edge rehabilitation. We would like to thank all our partners, including MPT, Calthorpe Estates and the clinicians in the Birmingham area that have helped make this a reality."

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Edward K. Aldag, Jr., Chairman and CEO of Medical Properties Trust, said:

"We are very pleased to be selected as the developer of the Circle Birmingham hospital. This investment, our second in the UK and with Circle, demonstrates our enthusiasm for and commitment to continued geographic and operator diversification. The Circle Birmingham hospital will certainly be a wonderful addition to our portfolio."

For further information, please contact:

Circle Holdings plc +44 (0)20 7034 5258

Michael Kirkwood, ChairmanPaolo Pieri, Chief Executive Officer

Alex Singleton, Head of Communications and Marketing

Numis Securities Limited +44 (0)20 7260 1000

Michael Meade, Richard Thomas Nominated Adviser

Alex Ham, Ben Stoop Corporate Broking

About Circle

Established in 2004, Circle Holdings plc is an employee co-owned group dedicating to empowering clinicians and healthcare professionals to redefine the delivery of healthcare in the UK. Circle's NHS and independent healthcare operations include two independent hospitals, Circle Bath and Circle Reading, the Nottingham NHS Treatment Centre, and the management of integrated musculoskeletal (MSK) services on behalf of local commissioners in Bedfordshire and Greenwich. Circle is currently building its latest state-of-the-art independent hospital in Birmingham.

For more information please visit www.circleholdingsplc.com and www.circlehealth.co.uk