Johannesburg - VPS Healthcare said it decided not to make a formal offer for Al Noor Hospitals Group, leaving Mediclinic International as the last company in the race to take over the Abu Dhabi-based health-care provider.
“After a thorough assessment of the opportunity, VPS has concluded that the potential transaction would not be in the best interests of the company,” the hospital owner said in a statement on Monday.
Mediclinic of South Africa agreed last month to combine with Al Noor to create the biggest private health-care provider in the United Arab Emirates. NMC Health, based in Abu Dhabi, has also quit plans to counter the proposed 1.5 billion-pound ($2.3 billion) transaction, which would involve a reverse takeover to give Mediclinic a listing on the London Stock Exchange.
Al Noor shares declined 1.3 percent to 1,140 pence by 3:21 p.m. in London, while Mediclinic traded 0.2 percent lower at the close in Johannesburg. VPS is closely held.
BLOOMBERG