Abu Dhabi-based NMC Healthcare has reportedly received bids to sell its distribution unit and will soon be selling it to different parties.
The development comes over three months after NMC Healthcare’s founder and then-chairman B R Shetty stepped down amid allegations of massive fraud.
The company, which recently laid off hundreds of workers, is offloading stake in the subsidiary as it is considered non-core and requires substantially high working capital to run the operations. In addition, this stake sale will help the company pay off some of its debt
"There are parties who have strong interest in the distribution business. NMC will be offloading the unit soon and that also to different parties," a source said.
"The company is in the process of exploring options for NMC Trading, the group's distribution business, which it has determined to be non-core and requiring substantial levels of working capital. The process should not materially adversely impact distributors' activities, nor NMC Trading's customers," an NMC Healthcare spokeswoman said.
The UK-court has appointed Alvarez & Marsal as administrator to oversee the operations of the debt-ridden hospital operator. The healthcare firm has been caught in a whirlpool of $6.6 billion debt while its senior former high management team is under investigation for financial irregularities.
The UAE Central Bank has direct local banks to freeze all bank accounts of NMC founder BR Shetty and his family members as well as accounts of those companies where he has a stake. The Central Bank move is subsequent to a criminal complaint filed by Abu Dhabi Commercial Bank, which has the largest exposure to NMC Healthcare, amounting Dh3 billion.
As the company faces financial difficulties, Reuters reported that NMC Health delayed May staff salaries and now expects to complete making payments by the first week of June.
The spokeswoman said: "The company has been in regular dialogue with its creditor constituencies through various creditor committees, including the direct bank lenders to its NMC Trading businesses."
Comments
Viren Kotian,
Kumar,
Yogesh,
Danish.
George
Shiva
Naren,
Please guys, U guys with all worldly intelligence look like FOOLISH... Dont jump to name an innocent as Terrorist...
Think before YOU blame others
Only U wake up when it happens to you or your own families .
When some is blaming without PROOF ... They are called FOOLS and HYPOCRITE.
Please next time use your God given intellectual and VERIFY before you jump like MONKEYs...
This guy is proved innocent and you guys are proving us that WE can make U dance with any news that is presented to YOU Guys cos U guys never USE your intellect to VERIFY what is Said...THINK and PONDER.
Naren Kotian ......if you need the proof, pls visit the Bhatkal police station and find out who placed the meat bag in NAGABANA to create disturbances ..... this Bastard terrorist should be nakedly hanged.....
wow superb ... third rated jihadist ... hang this bastard ... mostly he arranged passports for islamic state or ISI porkis to conduct bomb blast ... rikacha sumne koorappa, jaathi buddi yelli bidtheera .. we are seeing how your community is doing , proof beka .. proof kotru neev accept madalla .. so waste .. burnol kodla rikacha ?hahahaha
Also arrest the officials who issued him those passports......they are the sponsors of these terrorists.....where are the officers who made his verification.....don't let people laugh at our passport agencies and government.
Do not count chickens before they are hatched? It is normal that painting Muslims with anti nationals and terrorists etc.....
Super and timely catch... Now Amnesty international will start fighting for this anti national's rights. We should make sure he does not escape.
Add new comment