UAE's Al Noor plans $150m IPO in London

  • Share via facebook
  • Tweet this
  • Bookmark and Share

UAE healthcare provider Al Noor Hospitals Group aims to raise some $150m through an initial public offering (IPO) of shares on the London Stock Exchange (LSE) to finance planned acquisitions.

The Abu Dhabi-based group, the largest private healthcare provider in the oil-rich emirate, is looking at several acquisition opportunities within the UAE, including a $50m speciality treatment centre, said Sami Alom, chief strategy officer, declining to provide further details.

Al Noor is the second UAE healthcare company to launch an IPO and list on the LSE. In 2012, NMC Healthcare raised £117m ($186.9m), joining a growing list of Gulf companies seeking overseas listings in preference to moribund regional equity markets.

"Demand for healthcare is set to grow rapidly in the UAE (and) the IPO is to pursue expansion and ... growth opportunities," Alom said on a conference call with reporters.

The company plans to issue new and existing shares to secure a free float of readily tradeable shares of 30 to 45 percent of the total. It gave no further detail on the pricing and number of shares to be sold.

Al Noor chose to list in London to gain access to international investors, Alom said, adding bookbuilding for the IPO and listing would be in the latter half of next month.

Deutsche Bank AG and Goldman Sachs are mandated joint sponsors and global coordinators, with HSBC Holdings as joint bookrunner for the IPO.

Al Noor is owned by Ithmar Capital and its affiliates with 50 percent, and its two founders, Sheikh Mohammed bin Butti Al Hamed and CEO Dr Kassem Alom with 35 percent and 15 percent respectively.

In December, Reuters reported that the consortium which owns half of Al Noor planned to revive a sale of its stake through a stock market listing in 2013.

The group operates three hospitals and nine medical centres and has the largest market share among private healthcare providers for both outpatients and inpatients, according to the Health Authority of Abu Dhabi's latest report.

Al Noor achieved revenue of $324.4m in 2012, netting a profit of $60.5m.

Abu Dhabi, wealthiest of the seven emirates which make up the UAE federation, is investing billions of dollars in industry, tourism, healthcare and infrastructure to diversify its economy away from oil.

In recent years, it has initiated moves to privatise the healthcare sector, bringing in international companies to manage its hospitals.

Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Events that moved the markets

Events that moved the markets

What, if anything, have we learnt from past crises that have...

Big Gulf sell-off fuelled by credit, lax regulation

Big Gulf sell-off fuelled by credit, lax regulation

New impetus to governments in the region to improve financial...

Why PE's back in vogue in the Middle East

Why PE's back in vogue in the Middle East

Confidence is returning to the Gulf’s private equity market after...

Most Discussed
  • 17
    Nakheel PR: The toughest job in Dubai?

    You forgot to mention the sewage pit between JLT and Jumeirah Park and the terrible landscaping in Jumeirah Park The chain link fencing they want to install... more

    Monday, 30 March 2015 9:05 AM - An Emaar Fan
  • 14
    Dubai Int'l T1 is too congested, says Indian airline boss

    Question: All you people, criticizing my comment, do you work for Air India by any chance?

    Additionally, for all the whiners, I will provide you... more

    Tuesday, 31 March 2015 12:50 PM - Mosa
  • 9
    Post traumatic stress?

    I once had a Emirates Post employee hang up on me when I asked her to repeat something. That said, the worst is my management company, Kingfield Management... more

    Sunday, 29 March 2015 6:07 PM - Sarah