Johannesburg - Mediclinic shares climbed yesterday on the JSE on speculation that the company could be in talks related to an acquisition in the Middle East.
The group, which operates hospitals in South Africa, Namibia, Switzerland and the United Arab Emirates, said in a cautionary announcement that it was in talks which could have a material impact on its share price.
The cautionary sent Mediclinic’s shares up by as much as 3.6 percent before they closed up 3.26 percent at R117, which valued the group at R114.6 billion.
Analysts speculated that the talks could be related to an acquisition, possibly in the Middle East.
This announcement comes amid Mediclinic’s plans to build a $190 million (R2.6 billion) hospital in Dubai, which is expected to be completed by the end of 2018.
The new hospital will feature 46451.5m2 of space with an initial capacity of 150 beds and six operating theatres. Mediclinic Southern Africa operates 49 hospitals throughout South Africa and three in Namibia with more than 7 800 beds in total; its Swiss unit Hirslanden operates 16 private acute care facilities with more than 1 600 beds; and Mediclinic Middle East operates two hospitals and 10 clinics with 382 beds in the United Arab Emirates.
BUSINESS REPORT