IHH Healthcare the regional medical giant has responded to the recent speculation made and the subsequent announcement by Ramsay Health Care Limited which said that it will be subject to acquisition by IHH.
To the speculation, IHH Healthcare Berhad has now confirmed a confidential, conditional, non-binding, indicative proposal has been submitted to Ramsay and Sime Darby Holdings Berhad for IHH to acquire 100% of Ramsay and SDH’s 50:50 Asian joint venture company known as Ramsay Sime Darby Health Care Sdn Bhd.
Under the indicative proposal, IHH has listed the conditional indicative enterprise value for Ramsay Sime Darb as RM5.67 billion (or US$1.35 billion on a cash-free, debt free basis.
It has also added that the indicative proposal is subject to conditions for, completion of satisfactory due diligence, negotiation and finalisation of a sale and purchase agreement; and completion of any conditions precedent, including receipt of any regulatory approvals. Accordingly, both Ramsay and SDH have agreed to a period of exclusivity to allow IHH to conduct due diligence and negotiate a sale and purchase agreement
Both parties have stated that discussions between them are preliminary and no agreement has been reached in relation to the proposal. Adding that no guarantee that an agreement will be reached in respect of the proposal or that a transaction will eventuate.
