South Africa’s Remgro-led consortium is set to buy Mediclinic International, a hospital chain operator, for £3.7bn ($4.49bn).
The cash offer was made by Manta Bidco, a newly formed company owned by joint offerors Remgro and MSC Mediterranean Shipping Company’s indirect, wholly-owned subsidiary SAS Shipping Agencies Services.
It was the consortium’s fourth one as the earlier offers were denied by the board of Mediclinic.
Under the agreement, the consortium will acquire both issued and to be issued share capital of Mediclinic.
The acquisition process is subject to receipt of antitrust and regulatory approvals and is expected to be completed in the first quarter of 2023.
Following the acquisition, Mediclinic will be delisted from the London Stock Exchange, the Johannesburg Stock Exchange as well as the Namibian Stock Exchange.
Slaughter and May is serving as the advisor for Mediclinic in this regard.
Each shareholder of Mediclinic will receive 504 pence in cash for each share of the company, as per the agreement.
Slaughter and May said in a statement: “The acquisition is intended to be effected by a UK court-sanctioned scheme of arrangement.”
A diversified private healthcare services group, Mediclinic is South Africa’s third biggest operator of hospitals.
Founded in 1983, Mediclinic also has divisions in Switzerland and the Middle East.
Remgro is a diversified investment holding company and has its operations spread across financial services, consumer products, infrastructure as well as healthcare.
Listed on the Johannesburg Stock Exchange, the company also holds 44.6% of the entire issued share capital of Mediclinic.