NMC picks City for £117m float

ABU Dhabi’s NMC Health yesterday raised £117m from a float on the London Stock Exchange (LSE), boosting hopes that the European IPO market is on the route to recovery.

The Eurozone debt crisis almost killed off the equity markets in the second half of last year and NMC is only the second company to float on the LSE in 2012.

The firm sold 55.7m new shares at 210p each, towards the bottom end of a 200–280p price range and valuing the company at about £390m.

“We are proud to be the first Abu Dhabi company to list on the London market,” said the company’s billionaire founder, managing director and chief executive BR Shetty.

“The funds we have raised will enable us to implement our exciting growth plans which include developing new and existing facilities and funding future growth opportunities for the benefit of our patients and shareholders alike,” he continued.

NMC is one of the largest healthcare providers in the United Arab Emirates, operating hospitals, pharmacies and medical centres. It is looking to expand into Qatar and other states in the region.

The Gulf’s IPO market has suffered in the aftermath of the 2008 financial crisis, causing some firms to look to London as an alternate destination for raising capital.

Shares in the company rose as high as 225p before ending the day at the original 210p price.