NMC in tur­moil as vice-chair­man re­signs

Gulf News - - FRONT PAGE -

Al Muhairi quits af­ter be­ing ex­cluded from board meet­ings

NMC Health Plc said its vice-chair­man re­signed af­ter he was ex­cluded from board dis­cus­sions for pos­si­bly mis­rep­re­sent­ing his hold­ings in the com­pany.

Khaleefa Butti Omair Yousuf Ah­mad Al Muhairi stepped down with im­me­di­ate ef­fect, the com­pany said. Ear­lier this week, NMC re­moved Butti and Chair­man Dr. B.R. Shetty from board meet­ings on con­cern they may have mis­stated their stakes.

This week has been a heady one for the com­pany as Kohlberg Kravis Roberts & Co. an­nounced it doesn’t plan an offer af­ter NMC said the pri­vate-eq­uity firm made an ap­proach. GKSD In­vest­ment, an in­vest­ment com­pany backed by hos­pi­tal in­vestors, said it’s study­ing a pos­si­ble offer for the Lon­don-listed com­pany.

The stock has lost twothirds of its value since mid-De­cem­ber when Muddy Wa­ters al­leged that NMC ma­nip­u­lated its bal­ance sheet and in­flated the prices of com­pa­nies it ac­quired. NMC has said its board plans to vote whether Shetty and Butti could re­main as com­pany direc­tors.

NMC has hired for­mer FBI Di­rec­tor Louis Freeh to con­duct an in­de­pen­dent review.

Com­plex deal­ings

NMC sub­se­quently said yes­ter­day that there had been a series of com­plex share­holder deal­ings in­volv­ing Shetty, Bin Yousuf and an­other top in­vestor, Saeed Butti Al Qe­baisi.

The com­pany said Bin Yousef and Al Qe­baisi had no­ti­fied them that some of their shares had been pledged as se­cu­rity for loans by Shetty in an ar­range­ment “they were not party” to. “The com­pany con­tin­ues ur­gently to seek clar­ity from Dr. B.R. Shetty, Khal­ifa Bin Butti and Saeed Bin Butti in re­la­tion to the above ar­range­ments and their re­spec­tive share­hold­ings,” NMC said.

Al Qe­baisi and Bin Yousef yes­ter­day said that an es­ti­mated 26 mil­lion of the 58.5 mil­lion shares they hold have been pledged against loans.

Newspapers in English

Newspapers from UAE

© PressReader. All rights reserved.