(Alliance News) - Kohlberg Kravis Roberts & Co LP on Tuesday confirmed that it does not intend to make an offer for NMC Health PLC, a day after the UAE-focused private hospital operator confirmed it has received "highly preliminary approaches" from two private equity firms.
KKR said it has not made a proposal nor discussed with NMC the terms of any possible offer.
Meanwhile, GKSD Investment Holding SA confirmed it is considering a potential offer for NMC, with GK Investment Holding Group SA acting as its adviser.
GKSD is backed by sponsors of Italian hospital chain Gruppo San Donato.
NMC on Monday had said no proposal has been made by either KKR or GK, and there have been no discussions as to the terms of any possible offer. Further, GKSD on Tuesday confirmed that "there can be no certainty that any offer will be made".
NMC Health shares were trading 15% lower on Tuesday morning in London at 788.44 pence each, after closing up 32% on Monday. The stock is down by 54% so far in 2020 and is valued at GBP1.67 billion versus GBP5.5 billion a year ago.
NMC Health shares took a hit back in December, when US short selling firm Muddy Waters accused NMC Health of manipulating its balance sheet to understate debt, which the company firmly denied.
On Monday, Muddy Waters had said: "Today's bizarre disclosures about even more pledges and debt validate that the cockroach theory is alive and well - what we found is likely just the tip of the iceberg. As for the notion that NMC might receive private equity bids, it's hard for us to believe they would survive due diligence."
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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