Al Noor Hospitals, an Abu Dhabi-based owner of private hospitals, said on Monday that it is in talks with Mediclinic International of South Africa about a combination of the two healthcare companies.
A deal would involve the issue of new Al Noor shares to Mediclinic and be classified as a reverse takeover, Al Noor said in a statement.
”There can be no certainty at this stage that the discussions between the company and Mediclinic will lead to any agreement,” Al Noor said.
The company’s shares were up 7.6 per cent to 919 pence as of 5pm in London, valuing the company at £1.07 billion (Dh5.56bn). Mediclinic gained 3.3 per cent to 117 rand, the highest since May 21, giving it a market value of about 115bn rand (Dh31.1bn).
A combination with Al Noor would expand Mediclinic’s operations in the UAE. Mediclinic is South Africa’s largest private hospital operator. It said earlier on Monday that it was in talks that could affect the share price.
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