The judicial guards of NMC Healthcare LLC announced that NMC Group LLC, the largest private healthcare service provider group in the UAE, will have access to new financing facilities of US $ 250 million. These financial facilities will be provided in conjunction with the entry of "NMC" the second phase of the restructuring, which will contribute to enhancing the financial security of the group and ensure the continuity of providing patient care with the best international standards, and achieving stability for employees and suppliers.
The main lenders of NMC PJSC have agreed to provide a US $ 250 million financing package for NMC LLC and its subsidiaries, under certain conditions, which the group is close to completing.
These conditions will be fulfilled in conjunction with entering the second phase of restructuring, and NMC will present the business plan for the next three years.
This plan will include "limited" custodial procedures to protect operational business in the United Arab Emirates. The current management team of the "NMC" group will continue to supervise the operational work, hospitals, clinics and health care centers, and that the operational work will continue as is the case at present.
This procedure will allow pumping of the new financing package to support the operational operations and stop the adverse procedures from creditors, to ensure regular procedures in the interest of all creditors.
The management team at “NMC” and the operating operations management team of “Alvarez & Marsal” company have developed a business plan for the next three years, the strategy of which is based on the promotion and continued growth of the main business of the group in the UAE.
As part of the business plan, Perella Weinberg Partners was appointed as the investment bank to study opportunities to sell global business owned by NMC, and to provide advice on possible alternatives to restructuring.
NMC will work extensively with all relevant financial parties to review the business plan, and will share details of the restructuring in order to free the group from its previous debt burden.
It is reported that trusteeship was imposed on "NMC" LLC in April of this year, and judicial guards from Alvarez & Marshall Company were appointed by a decision of the Supreme Court in England and Wales. Since their appointment, the judicial guards and consultants of Alvarez & Marsal have been able to make significant progress in the extent of stability in the company's business and to identify individuals or companies that carried out fraudulent or illegal activities, which resulted in imposing trusteeship on the company later.
The judicial guards continue to work with the responsible authorities, as well as the coordination committee with the group's financial creditors, who represent more than $ 2.9 billion in debt owed by the company.
Commenting on this topic, Richard Fleming, General Manager of Alvarez & Marshall Europe, and a judicial guard for NMC Healthcare PJSC, said: “We are pleased with the significant progress we have made since we were appointed, but we are not We are still working under complicated circumstances and challenges, and getting the financing package is undoubtedly a milestone as we enter the second stage of restructuring and define the business plan for the next three years.
What we have achieved to this day could not have been achieved without the support of many parties concerned. On behalf of all colleagues, I would like to extend my sincere thanks to the UAE government for its unlimited support to all companies fighting the Covid-19 virus, and I would also like to pay tribute to the efforts made by NMC doctors, nurses and staff during the last period. I would like to underline our full commitment from the start until now in providing all possible ways to ensure that patient care is provided within the best and highest standards. ”
We would also like to value the support and unremitting efforts that the Coordination Committee provides to the NMC creditors, and the many banks and financial institutions that we work with. We thank them all for their cooperation and adherence to the procedures that we work through, and their compliance with the informal request submitted by the group for a temporary freeze on the outstanding payments.
In addition to achieving financial stability for NMC, the next stage will witness a major focus on identifying and holding accountable those responsible for the fraudulent actions and illegal measures that led to this situation, which still pose a threat to the group and the parties concerned. We will continue to cooperate with the relevant authorities and authorities to ensure that those involved are brought to justice.
The operational work of "NMC" is very strong, which confirms our confidence in the Group's ability to achieve distinguished results in the future through the business plan for the next three years. There is no doubt that the success of the second phase of the restructuring will allow NMC to continue providing healthcare services to patients within the best international standards, and will contribute to strengthening the services provided by the health sector in the UAE.