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NMC founder Shetty considers Neopharma sale - report
3rd Mar 2020 15:21
(Sharecast News) - NMC Health's founder Bavaguthu Raghuram Shetty is considering selling his Neopharma business to repay debt, Bloomberg reported.
Shetty has attracted investor interest in a whole or partial sale of the pharmaceutical business, which would be valued at between $700m (£546m) and $1bn. The Abu Dhabi-based business operates in about 50 countries in the Middle East, Africa and Asia.
Investment bank Houlihan Lokey is advising Shetty on options for his BRS Ventures holding company which spans 30 businesses, Bloomberg said. He resigned as chairman of NMC, the Middle East hospital operator, amid questions about the company's finances and the size of Shetty's stake.
Bloomberg said it was told Shetty was considering selling shares in Neopharma before US short seller Muddy Waters questioned NMC's accounts in December. On Monday, NMC asked its lenders for a debt standstill as Moody's slashed its credit rating, saying its financial reporting could not be relied on.
Shetty has attracted investor interest in a whole or partial sale of the pharmaceutical business, which would be valued at between $700m (£546m) and $1bn. The Abu Dhabi-based business operates in about 50 countries in the Middle East, Africa and Asia.
Investment bank Houlihan Lokey is advising Shetty on options for his BRS Ventures holding company which spans 30 businesses, Bloomberg said. He resigned as chairman of NMC, the Middle East hospital operator, amid questions about the company's finances and the size of Shetty's stake.
Bloomberg said it was told Shetty was considering selling shares in Neopharma before US short seller Muddy Waters questioned NMC's accounts in December. On Monday, NMC asked its lenders for a debt standstill as Moody's slashed its credit rating, saying its financial reporting could not be relied on.