(Alliance News) - NMC Health PLC on Monday said it is in discussions with Abu Dhabi Commercial Bank PJSC and other creditors, with the goal of avoiding liquidation.
The troubled private hospital operator said lawyers acting for Abu Dhabi Commercial Bank last Thursday filed an application with the High Court of Justice, Business and Property Courts of England and Wales, Insolvency and Companies List for the appointment of administrators. It added that a hearing has been set with the court for Thursday.
However, NMC said it has begun discussion with the Abu Dhabi-based lender and its other creditors to address concerns and have the application withdrawn. It added that talks may result in changes to the board and to corporate governance.
The FTSE 250-listed company has been beset with issues after an independent review of its finances found evidence of fraud. Earlier in March, NMC had estimated that its debts were around USD5.0 billion. Since then, the group has verified a further USD300 million related to known facilities as at June, USD800 million from undisclosed and unapproved facilities as at June and USD400 million in facilities entered after June.
Shares in NMC Health are currently suspended in London as it seeks to unravel its financial and debt position.
By Ife Taiwo; ifetaiwo@alliancenews.com
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