Mediclinic to raise R3.4bnComment on this story
Johannesburg - Mediclinic International, South Africa’s largest private-hospital owner, may raise about 3.4 billion rand in a share sale to finance acquisitions in Switzerland and the United Arab Emirates.
The company will sell as many as 41.35 million shares to institutional investors, or as much as 5 percent of the equity capital, Stellenbosch-based Mediclinic said in a statement.
Buyers will be entitled to a final dividend of 68 cents a share to be paid June 23.
“Mediclinic has identified a number of attractive acquisition and investment opportunities in Switzerland, the United Arab Emirates and selected African opportunities,” the company said.
The deals “will further the company’s growth through increasing capacity and expanding the geographic presence.”
Mediclinic shares declined 0.4 percent to 82.67 rand by the market close in Johannesburg, meaning a share sale at that price would raise 3.4 billion rand.
The company has already entered into binding agreements to buy an acute-care multidisciplinary hospital in Switzerland and is also in talks to acquire outpatient facilities in the country. - Bloomberg News