Al Noor's London IPO values company at $1bn

Abu Dhabi healthcare firm prices initial public offering in London at £5.75 per share
By Reuters
Fri 21 Jun 2013 11:05 AM

Abu Dhabi healthcare firm Al Noor Hospitals priced its London initial public offering at £5.75 per share on Friday, valuing the company at £672m ($1.04bn).

That was in the lower half of its original price range of £5.25-7.25 per share. Earlier this week the company narrowed the range to £5.75-6.25 per share, a person familiar with the matter said.

Al Noor, the largest private healthcare provider in the oil-rich emirate, said it had raised £97m from the sale of new shares in the offering to finance future growth.

The remaining £124m raised from the sale of 32.9 percent of the company will go to its selling shareholders, affiliates of Ithmar Capital and founders Sheikh Mohammed bin Butti Al Hamed and CEO Kassem Alom.

Healthcare businesses in the Gulf region are expected to boom in coming years as wealth rises in tandem with an increase in so-called lifestyle diseases.

Five of the six Gulf nations are in the global top 10 for prevalence of diabetes, according to the International Diabetes Federation.

Al Noor is the second UAE healthcare company to launch an IPO and list on the LSE. In 2012, NMC Healthcare Plc raised £117m through a London share sale.

Deutsche Bank and Goldman Sachs were joint sponsors and global coordinators on the offering, with HSBC acting as joint bookrunner.

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