|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||10.35 - 12.89|
|52 Week Range||9.11 - 40.65|
|Beta (5Y Monthly)||0.37|
|PE Ratio (TTM)||8.10|
|Forward Dividend & Yield||0.23 (1.97%)|
|Ex-Dividend Date||Jun 13, 2019|
|1y Target Est||N/A|
Shares in NMC Health, the struggling healthcare provider, have been suspended after it was forced to reveal unauthorised off-balance sheet financing, raising fresh concerns about a mounting accounting scandal that has sparked a boardroom clearout. After the market closed on Wednesday, the company said its chief executive had been fired and it had suspended a member of its treasury team amid worries that an internal investigation of its finances was being obstructed. On Thursday morning, the UK’s Financial Conduct Authority said that it had agreed to a request by NMC for the temporary suspension of its shares “to ensure the smooth operation of the market”.
(Bloomberg) -- NMC Health Plc, the Middle Eastern hospital operator targeted by short seller Muddy Waters Capital LLC, dismissed its chief executive officer and said advisers identified potential discrepancies in its bank statements.CEO Prasanth Manghat will be succeeded on an interim basis by Michael Davis, currently chief operating officer, with immediate effect, the company said in a statement late Wednesday. Chief Financial Officer Prashanth Shenoy has been granted extended sick leave.Trading of the shares was suspended early Thursday in London as the company said it sought to provide “clarity to the market as to its financial position,” according to a statement. Operator of the largest medical network in the United Arab Emirates, NMC had commissioned a review of potential financial discrepancies. It said Wednesday that it has suspended a member of the treasury team because of “a belief that the independent review has been obstructed,” and is looking at whether others are involved.NMC said a review uncovered financial liabilities that had not been reported to the board or disclosed in its financial statements. It’s still verifying the drawdown of some supply-chain financing arrangements that amounted to about $335 million at the end of 2019, the company said.Founder Bavaguthu Raghuram Shetty this month resigned from the board amid investor concern he faced a margin call and misrepresented his stake.The latest moves come after a scathing report from Muddy Waters in December that has slashed the stock’s value by about two-thirds. The investment firm alleged the company manipulated its balance sheet and inflated the prices of assets it purchased.NMC has said the allegations are false. The company hired former FBI Director Louis Freeh to conduct the independent review.“At this point, the company’s announcements speak for themselves and seem to be even more damning than our initial report was,” Muddy Waters founder Carson Block said Wednesday in an email.(Updates with share suspension in third paragraph)\--With assistance from Lisa Pham.To contact the reporter on this story: Eric Pfanner in London at email@example.comTo contact the editors responsible for this story: Kenneth Wong at firstname.lastname@example.org, John LauermanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Rosen Law Firm, a global investor rights law firm, announces it is investigating potential securities claims on behalf of shareholders of NMC Health Plc (OTC: NMHLY) resulting from allegations that NMC may have issued materially misleading business information to the investing public.
Abu-Dhabi based NMC said after Wednesday's market close that it had appointed Chief Operating Officer Michael Davis as interim CEO to succeed Manghat and said Chief Financial Officer Prashanth Shenoy had been placed on longer leave. Manghat had been with NMC for about 10 years in various roles, including deputy CEO and CFO, and had seen the company through its 2012 listing on the London Stock Exchange.
(Bloomberg) -- Richard Chandler’s Clermont Group is snapping up shares of hospital operator NMC Health Plc, betting that the second time the secretive billionaire has publicly taken the opposite side of a trade from short seller Muddy Waters Capital LLC will work out better than the first.Clermont Group disclosed a 1.06% interest in NMC Health in a Feb. 19 filing, two months after a scathing report from Muddy Waters that has slashed the stock’s value by about two thirds. Clermont Group, which has investments in health care, finance and aviation, has been buying more, and now owns the equivalent of 6.64 million NMC Health shares, or 3.18% of the company, according to the latest filing.Chandler’s previous bet against Muddy Waters founder Carson Block didn’t pay off. Chandler bought shares in Sino-Forest Corp. in 2011 after the short seller issued a report alleging that the Chinese timber company was overstating the value of its assets. The billionaire eventually went on to become the biggest shareholder in Sino-Forest before it filed for bankruptcy in 2012.But Clermont Group doesn’t see itself at odds with Muddy Waters. “Muddy Waters has played a valuable role in highlighting several corporate governance concerns at NMC,” a spokesperson for Clermont Group said in an email on Wednesday. “We hope that, if these concerns are addressed thoroughly by the board, NMC will be a stronger company in the future.”Four board members, including Bavaguthu Raghuram Shetty and Khalifa Bin Butti, have resigned since Muddy Waters alleged the company manipulated its balance sheet and inflated the prices of assets it purchased. The board of NMC removed Chief Executive Officer Prasanth Manghat with immediate effect, it said in a statement on Wednesday, while Chief Financial Officer Prashanth Shenoy was granted extended sick leave. NMC has said Muddy Waters’ allegations are false, and that a committee of independent directors plans to publish findings of a review it commissioned. The company also has received preliminary expressions of interest about a takeover.The independent review isn’t expected to conclude for several weeks and NMC doesn’t expect to be in a position to publish its 2019 earnings results before the end of April, the company said in a statement Wednesday. The board of NMC Health removed CEO Prasanth Manghat with immediate effect, it said in a statement on Wednesday.NMC lost almost half its value in the first week of February on speculation the company’s main investors faced a margin call, in which banks seize shares pledged as collateral. Shetty has said he may have misrepresented his stake and he and his advisers are in the process of carrying out a legal review in order to verify the total interests.Regarding Chandler’s investment, Block said that while NMC Health may not be worthless, as Sino-Forest was in the end, Chandler can’t know if it’s worth putting money into. “It is simply not possible at this point for an investor to know how deep the rot goes at NMC,” the short seller said by email.Clermont Group said it has a “formidable track record” of investing in and building businesses in emerging markets over 30 years, and has long advocated for good corporate governance. Block has a vested interest in talking down companies he’s bet against, Clermont Group said.NMC Health should slow its growth until it can reduce its debt load, Clermont Group said.Chandler, a New Zealander whose business is based in Singapore, has investments including Hoan My Medical Corp., the biggest private hospital group in Vietnam, and electric-plane startup Eviation Aircraft Ltd., according to Clermont Group’s website.Shares in NMC rose 6.6% in London on Wednesday. They’re the worst performers in the U.K.’s benchmark FTSE 100 Index this year, putting them at risk of being removed from the gauge at the next rebalance.To contact the reporter on this story: Lisa Pham in London at email@example.comTo contact the editors responsible for this story: Beth Mellor at firstname.lastname@example.org, Phil Serafino, Celeste PerriFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
NMC Health, the beleaguered FTSE 100 healthcare provider, has fired its chief executive, suspended a member of its treasury team and granted “extended sick leave” to its chief financial officer after finding discrepancies in its bank statements. The announcements from NMC came on Wednesday evening after an independent review into the company led by former FBI director Louis Freeh presented its interim findings to the board. The company has been hit by a series of embarrassing disclosures since short seller Muddy Waters raised “serious doubt” over the group’s finances in December, with questions over reported asset values, cash, profits and debt.
BRS International - said Shetty had pledged the shares to Goldman Sachs as as part of a funded equity collar transaction, a complex structure used to help to build a stake in a company. Shetty resigned as NMC's co-chairman last week, creating further uncertainty for the London-listed UAE company, which has seen its share price collapse in the past few weeks on doubts about the shareholdings of its major investors.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of NMC Health plc and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
The theme of today is risk-off following a surge in coronavirus cases in Italy, South Korea and Iran over the weekend. Specifically, the frequency of searches for the word “layoffs”, as measured by index, dropped to 935 in the week of 17 February from a recent peak of 1,525 one week earlier, but it was much higher than the monthly average of 557 in January.
(Bloomberg) -- The Jefferies International Ltd. analyst who was ahead of the pack in predicting a slump in NMC Health Plc’s shares now says the stock has a lot further to fall.James Vane-Tempest cut his price target on the hospital operator to 500 pence, or 42% below Friday’s close, from 1,300 pence previously. The target is the lowest among analysts tracked by Bloomberg.The multiple of earnings that investors are willing to pay for NMC has fallen given the concerns raised by short seller Muddy Waters Capital LLC, Vane-Tempest wrote in a report Monday. The analyst, who has rated the stock underperform since November 2018, said his latest review shows that growth at the Abu Dhabi-based company’s clinics is slower than it appears, and that its cash position is tightening.The analysis adds to the turmoil around NMC since Muddy Waters alleged in December the company manipulated its balance sheet and inflated the prices of assets it purchased. NMC has said the allegations are false, and that a committee of independent directors plans to publish findings of a review it commissioned before annual results are announced. In recent years, the company has published earnings in early to mid March.NMC fell 3.4% to 826 pence at 11:13 a.m. in London. The stock has lost 68% since the Muddy Waters report on Dec. 17 and is the worst performer this year in the U.K.’s benchmark FTSE 100 Index. It jumped on Feb. 10 after the company said it received preliminary takeover approaches.A spokesperson for NMC wasn’t immediately available for comment on the Jefferies report.The review of the Muddy Waters report the company commissioned from former FBI Director Louis Freeh could set NMC on a path to recovery, the Jefferies analyst wrote.“If any of MW’s accounting allegations are proved true, an analysis of precedent situations suggests that it would not be improbable to see a restructuring of the current board, paving the way for further corporate change,” Vane-Tempest wrote in his report, titled “Not Much Cash?”Before the Muddy Waters report was published, Jefferies was the sole analyst with a sell rating or equivalent on the stock. NMC now has four buys, no holds and two sell ratings, with several analysts recently suspending or restricting their coverage on the stock amid possible offers for the company.To contact the reporter on this story: Lisa Pham in London at email@example.comTo contact the editors responsible for this story: Beth Mellor at firstname.lastname@example.org, Phil SerafinoFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Shares in NMC Health drop after Czech activist investor Krupa Global Investments rules out taking strategic stake in London-listed health care operator
(Bloomberg) -- NMC Health Plc founder Bavaguthu Raghuram Shetty hired Houlihan Lokey Inc. to explore strategic options for his holding company, including a potential debt restructuring or the sale of some assets, according to people familiar with the matter.The investment bank is working with BRS Ventures Investment to revamp debt and seek potential investment partners or sell assets from the portfolio, which holds 30 companies including hospital operator NMC and financial services firm Finablr Plc, according to the people.The borrowing of the holding company includes a loan of about $1 billion that was used to acquire Travelex Holdings Ltd., said the people, who asked not to be identified as the matter is private. Representatives for BRS Ventures and Houlihan Lokey declined to comment.Shetty this week resigned from the board of NMC amid investor concern he faced a margin call and misrepresented his stake in the hospital operator. Law firm Herbert Smith Freehills has launched a review of Shetty’s holdings at his request.NMC operates the largest medical network in the United Arab Emirates and in 2012 became the first Abu Dhabi company to list in London. Shares in the company have plunged since Muddy Waters Capital LLC released a report criticizing its accounts in December and the firm is now the focus of takeover speculation.Carson Block’s Muddy Waters has alleged that NMC’s financial statements hint at potential over payment for assets, inflated cash balances and understated debt. NMC has called those claims unfounded.BRS Ventures, based in the United Arab Emirates, doesn’t report consolidated financials, preventing a complete analysis of his net worth. Shetty’s other assets include a catering company, a waste-management firm and pharmaceutical business Neopharma, which four months ago was in the early stages of planning for an initial public offering.(Adds options including asset sales in 2nd paragraph)To contact the reporters on this story: Dinesh Nair in London at email@example.com;Archana Narayanan in Dubai at firstname.lastname@example.org;Nicolas Parasie in Dubai at email@example.comTo contact the editors responsible for this story: Stefania Bianchi at firstname.lastname@example.org, Michael Gunn, Adveith NairFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.