(Alliance News) - Embattled hospital operator NMC Health PLC on Monday said it has hired Moelis & Co to "support and advise" the company on its ongoing talks with its lenders.
The FTSE 100-listed company also has appointed accounting firm PricewaterhouseCoopers and law firm Allen & Overy as operational adviser and legal adviser respectively with immediate effect.
"Moelis will support and advise on NMC's discussions with its lenders, while PwC will assist on liquidity management and operational measures," the Abu Dhabi-based company said in a statement.
The company said it is currently focused on "safeguarding operational liquidity" and is asking lenders for continued support and an "informal standstill" in relation to existing loan facilities. The informal standstill includes a request to lenders not to exercise any rights and remedies that may arise from any current or future defaults under NMC's finance documentation.
In terms of shareholdings of founder & former chair Bavaguthu Raghuram Shetty, former vice-chair Khaleefa Butti Omair Al Muhairi and Saeed Mohamed Butti Mohamed Khalfan Al Qebaisi, NMC said details provided by the three principal investors indicate that the trio now holds less than 30% of NMC's issued share capital.
NMC's loan facilities contain change of control provisions that are triggered if principal investors cease to hold more than 30% stake in the company. In the event of a trigger, undrawn commitments on the loans are cancelled and outstanding amount becomes payable if requested by a lender.
Reuters, citing three sources familiar with the matter, reported on Sunday that Standard Chartered PLC, First Abu Dhabi Bank and HSBC Holdings PLC were among the banks that provided debt to NMC.
NMC on Thursday confirmed that the UK Financial Conduct Authority had commenced a formal investigation into the company. Shares in NMC were also suspended on Thursday as the company focused on providing clarity over its financial position and shareholding pattern.
https://uk.reuters.com/article/uk-nmc-health-debt-moelis/nmc-health-hires-moelis-for-debt-restructuring-sources-idUKKBN20O1TY
By Tapan Panchal; tapanpanchal@alliancenews.com
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