International law firm Clyde & Co LLP has advised the Varkey Group on the sale of its stake in Emirates Healthcare Holdings to Mediclinic International, an international private hospital group listed on the JSE.
The Dubai office of international law firm Clyde & Co LLP has advised the Varkey Group on the sale of its 44.39% stake in Emirates Healthcare Holdings (Emirates Healthcare) to Mediclinic International. Varkey Group, headquartered in Dubai, has significant interests in education, construction and real estate. It owns GEMS Education, the world's largest K-12 private education provider. Mediclinic is an international private hospital group with operations in South Africa, Namibia, Switzerland and the United Arab Emirates.
Emirates Healthcare is the largest private healthcare group in Dubai with two hospitals and eight operational clinics employing, in total, around 1,900 staff.
The deal to acquire the remaining holding in Emirates Healthcare, of which Mediclinic previously held c.50.37%, was for a cash consideration of approximately USD 223.6 million. General Electric Company also sold its stake in Emirates Healthcare (c.5.24%) to Mediclinic alongside Varkey Group.
The Clyde & Co team that advised the Varkey Group on its disposal was led by corporate partner and head of Clyde & Co's Middle East practice, Jonathan Silver together with lead corporate associate Naji Hawayek and associates Munisha Khatwani and Shahbaz Khan.
Mr. C.N. Radhakrishnan, Senior Executive Director – Varkey Group commented:
“Varkey Group’s partnership with Mediclinic International and General Electric in EHHL has been very rewarding. The partnership brought world class quality healthcare facilities and services to the people of UAE and the GCC region. The decision by Varkey Group to exit its healthcare interest is only due to the Group’s strategic intent of continuing to focus and grow its education business at a faster pace globally."
On his dealings with the Clyde & Co team, Mr. Radhakrishnan stated:
"From the outset, the team at Clyde & Co demonstrated outstanding knowledge and experience of M&A transactions and the healthcare sector, which in turn, gave us great confidence in their ability to execute a deal of this size and complexity. Throughout the transaction, the team delivered a first-rate service and added value to the process every step of the way."
Jonathan Silver commented: "We are delighted to have advised the Varkey Group on this significant and complex transaction. It illustrates the increasing importance of the healthcare sector in the Middle East and Clyde & Co's expertise and experience in that sector."
The deal was completed on 17 October 2012.