NMC Health has requested the London Stock Exchange to delist its shares, eight years to the month after it listed there.
The embattled UAE-based healthcare operator, which has a market value of US$2.4bn and total debt of US$6.6bn, has requested LSE that the cancellation takes effect “as soon as possible” in its statement.
The statement says, “Continued listing of the shares in NMC Health incurs significant cost and adds complexity in a situation where decisions need to be made quickly in partnership with the Group’s stakeholders. Against this backdrop, the Administrators have concluded that delisting NMC Health’s shares is appropriate.”
NMC Health’s shares were suspended on February 27 in light of constantly evolving financial irregularities, which also found the healthcare operator put under court-ordered administration and appointed three administrators from Alvarez & Marsal.
This was done following an appeal from Abu Dhabi Commercial Bank (ADCB), which has US$981 million worth of exposure in the healthcare provider. Overall UAE banks have reported more than US$2 billion of exposure to NMC Health, founded by Indian billionaire businessman BR Shetty, who is also the founder of Finablr.
Meanwhile, an advisory from The Central Bank of the UAE (CBUAE) has ordered financial institutions in the country to freeze all bank accounts of Shetty, his family members and companies where he has a stake.
According to the advisory, information is also being sought on credit facilities extended to Shetty and his family members, as well as safety deposit boxes and details of financial transfers made.
