The potential sale of its larger assets, which would also include Oman, could generate around $ 1 billion, one of the sources said. It follows the launch by directors Alvarez & Marsal in August of a process to sell NMC’s international activities, including its international fertility units.
NMC, which was founded by Indian businessman BR Shetty in the mid-1970s, has grown to become the UAE’s largest private healthcare provider, but has run into problems after seller shorted Muddy Waters has questioned its financial reports and doubts have arisen about the size of the stakes held by its largest shareholders.
NMC took office in April after months of financial turmoil and the discovery of $ 6.6 billion in debt, well above previous estimates.
Directors will present two options to NMC’s creditors by February: either an outright sale of assets or a reorganization of the company, the sources said. Lenders will have to vote by April on which of the two options they choose, one added.
Alvarez & Marsal declined to comment when contacted by Reuters.
Investment bank Perella Weinberg Partners, which did not immediately respond to a request for comment, sent a teaser about a week ago for an extensive auction process, the sources said, declining to be named. because the matter is not public.
The teaser includes NMC Health in the United Arab Emirates and Oman, Al Zahra Hospital in Sharjah, Fakih IVF and CosmeSurge, one of the sources said.
It was sent to a wide range of investors, including regional strategic players and sovereign wealth funds, as well as private equity players, the source said.
Expressions of interest in the assets are expected by Dec. 15, including a valuation indication, the three sources said.
NMC’s lenders look for valuation expectations early in the process because they want to get a general idea before a formal sales process begins in January, they said.
They are also looking to ensure that potential buyers do not take advantage of NMC Health’s situation by bidding at ridiculous prices, one of the sources said.