Business Maverick


Mediclinic accepts Remgro consortium’s £3.7bn offer

Mediclinic accepts Remgro consortium’s £3.7bn offer
(Photo: Gallo Images / Misha Jordaan)

After a bit of back and forth flirting via several cash offers, Mediclinic has finally agreed to a £3.7bn takeover by Remgro, acting in a consortium with the Mediterranean Shipping Company.

The sale places an implied enterprise value of about £6.1-billion on the hospital group with legs in southern Africa, the United Arab Emirates and Switzerland.

Under the terms of the sale, shareholders will receive R102.06 per share, which means that if you have 1,000 Mediclinic shares, you will be paid R102,600. 

Once the deal is finalised, Mediclinic will be owned 50/50 by diversified investment holding company Remgro and SAS, a subsidiary of global shipping company MSC (Mediterranean Shipping Company).

Mediclinic’s chief financial officer, Gert Hattingh, says the company’s directors consider the terms of the sale to be fair and reasonable. 

However, for the sale to take effect, it has to be approved by at least 75% of the shareholders, excluding Remgro, which already owns 328 million shares. 

The acquisition is also conditional on approvals under the respective merger control regimes in South Africa, Namibia, Switzerland and Cyprus, and approval by the financial surveillance department of the South African Reserve Bank.  

The takeover is expected to take effect in the first quarter of next year, after which Mediclinic will be delisted from the London Stock Exchange, the JSE and the Namibian Stock Exchange.  

Dame Inga Beale, chair of Mediclinic, says the recommended offer represents a near-term value realisation for Mediclinic shareholders at an attractive premium.

“Over 39 years, Mediclinic has developed into the leading international healthcare services group it is today. During this time, Remgro has remained a supportive long-term shareholder. 

Visit Daily Maverick’s home page for more news, analysis and investigations


“Together with SAS, the consortium’s resources will put Mediclinic in a strong position to continue to serve patients through our broad range of high-quality healthcare services.”

Jannie Durand, chief executive of Remgro, says the acquisition is fully aligned with the group’s strategy of prioritising ownership of structurally attractive, unlisted assets. 

“Under the stewardship of the consortium, Mediclinic will be well-positioned to execute on its strategy and undertake the investment required to realise the full potential of the business,” says Durand.  

Diego Aponte, group president of MSC, adds that the shipping conglomerate is well positioned to provide long-term capital — as well as insight and experience from operating a global business — to support the strategic ambitions of the Mediclinic management team.

Less than a month ago, the hospital group reported that patient numbers are moving back towards pre-pandemic levels. As at March this year, the group comprised 74 hospitals, five subacute hospitals, two mental health facilities, 20 day-case clinics and 22 outpatient clinics. 

The Swiss operations included 17 hospitals and four day-case clinics, with around 1,900 inpatient beds; southern Africa operations included 50 hospitals (three of which are in Namibia), five subacute hospitals, two mental health facilities and 14 day-case clinics (four of which are operated by Intercare) across South Africa, and around 8,650 inpatient beds. 

The Middle East operations include seven hospitals, two day-case clinics and 22 outpatient clinics, with around 1,000 inpatient beds in the UAE

In addition, Mediclinic has plans to open a 200-bed hospital in Saudi Arabia next year. BM/DM


Comments - Please in order to comment.

Please peer review 3 community comments before your comment can be posted


This article is free to read.

Sign up for free or sign in to continue reading.

Unlike our competitors, we don’t force you to pay to read the news but we do need your email address to make your experience better.

Nearly there! Create a password to finish signing up with us:

Please enter your password or get a sign in link if you’ve forgotten

Open Sesame! Thanks for signing up.

[%% img-description %%]

The Spy Bill: An autocratic roadmap to State Capture 2.0

Join Heidi Swart in conversation with Anton Harber and Marianne Merten as they discuss a concerning push to pass a controversial “Spy Bill” into law by May 2024. Tues 5 Dec at 12pm, live, online and free of charge.

A South African Hero: You

There’s a 99.8% chance that this isn’t for you. Only 0.2% of our readers have responded to this call for action.

Those 0.2% of our readers are our hidden heroes, who are fuelling our work and impacting the lives of every South African in doing so. They’re the people who contribute to keep Daily Maverick free for all, including you.

The equation is quite simple: the more members we have, the more reporting and investigations we can do, and the greater the impact on the country.

Be part of that 0.2%. Be a Maverick. Be a Maverick Insider.

Support Daily Maverick→
Payment options