Mediclinic rejects ‘unsolicited’ Remgro/SAS Shipping takeover bid

JSE and London-listed international hospital operator Mediclinic has rejected a takeover offer from Remgro and SAS Shipping Agencies Services Sarl, the group confirmed in a Sens statement on Thursday.

The group, which has operations in South Africa, Europe and the Middle East, said the “unsolicited” offer of 463 UK pence per share significantly undervalues Mediclinic.

“The board of Mediclinic International plc notes the announcement made by the consortium comprising Remgro Limited and MSC Mediterranean Shipping Company SA, acting through its wholly-owned subsidiary, SAS Shipping Agencies Services Sàrl [the consortium],” it said in the Sens statement.

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“The board of Mediclinic confirms that, on 26 May 2022, it received an unsolicited and conditional proposal from the consortium, concerning a possible cash offer to acquire the entire issued and to be issued ordinary share capital of Mediclinic not already owned by Remgro at 460 pence per share plus the Mediclinic proposed final dividend for the financial year ended 31 March 2022 of 3 pence per share.”

“The board of Mediclinic [excluding the Remgro representative] considered the proposal, together with its advisers, and concluded that it significantly undervalued Mediclinic and its future prospects,” it added.

Mediclinic said its board, on 31 May 2022, unanimously rejected the proposal.

The group’s share price gained almost 4% on the news in early morning trade on Thursday, at around R83 a share.

Mediclinic’s share price