NMC Health Administrators Reportedly Sound Out Investors for Flagship UAE Hospitals
December 09, 2020 at 10:32 am EST
Share
Administrators of NMC Health Plc (OTCPK:NMMC.F) are sounding out potential buyer interest for its flagship business in the United Arab Emirates (UAE), three sources familiar with the matter said. The potential sale of its biggest assets which would also include Oman, could generate around $1 billion, one of the sources said. The administrators will present two options to NMC’s creditors by February, 2021; either an outright sale of the assets or a business reorganisation, said the sources. Lenders will have to vote by April, 2021 on which of the two options they opt for, added one of them. Alvarez & Marsal declined to comment when contacted by Reuters. Perella Weinberg Partners, which did not immediately respond to a request for comment, sent out a teaser about a week ago for a wide auction process, said the sources, declining to be named as the matter is not public. The teaser includes NMC Health in the UAE and Oman, Al Zahra Hospital Sharjah, Fakih IVF Group and CosmeSurge Clinics L.L.C, said one of the sources. It was sent to a wide range of investors including regional strategic players and sovereign wealth funds, along with private equity players, the source said. Expressions of interest in the assets are due by December 15, 2020 including an indication of valuation, all the three sources said. NMC’s lenders are seeking valuation expectations early in the process as they are keen to have a general idea before a formal sales process begins in January, they said. They are also looking to ensure potential buyers are not taking advantage of NMC Health’s situation by bidding at distressed prices, one of the sources said.
NMC Health Plc is a United Kingdom-based private healthcare operator in the Gulf Cooperation Council (GCC). The Company has an international network of multi-specialty inpatient and outpatient clinics and hospitals, specialized maternity and fertility clinics, and long-term care homes. Its specialties include aesthetic, reconstructive and plastic surgery, allergy and immunology, anesthesiology, audiology, ayurveda, bariatric surgery, cardiac sciences, child development department, dentistry, dermatology, dietetics and nutrition, emergency medicine, endocrinology, diabetology and metabolic disorders, ENT, and head and neck surgery, among others. Its other specialties include midwifery services, neonatology, nephrology, and others. It serves over 5.5 million patient interactions annually through about 14 hospitals and 64 community clinics and specialty care centers that include medical centers, long term care facilities, day surgery centers, fertility clinics, and home health services.