Abu Dhabi state-owned holding company ADQ and private equity firm CVC Capital Partners are among the suitors that have shown interest in NMC Health’s core hospital business, sources told Reuters. Hospital operators in the region have reported higher profits for last year as the COVID-19 pandemic led to higher in-patient occupancy. NMC has hired advisers for the sale of NMC’s healthcare business in the United Arab Emirates (UAE) and Oman, which sources said could generate around $1 billion.
ADQ is serious about the transaction, which would make sense for the nascent wealth fund, whose portfolio includes Abu Dhabi Health Services Co (Seha), two sources said. They declined to be named as the matter is not public. Saudi Arabian healthcare operator Sulaiman Al Habib Medical Group (HMG) has been invited to the process, said one of the two sources and a third source.
An NMC spokesman said: “A process to explore the possibilities of a sale was launched last month and, while it is understandably attracting considerable interest, it is at an early stage”. The deal is active and investor talks with management have started, but the candidates have yet to submit non-binding bids and there is no guarantee it will lead to a sale, the sources said.
Reporting by Hadeel Al Sayegh, Saeed Azhar and Davide Barbuscia; editing by Barbara Lewis
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