Al Noor's Mediclinic merger gets SA Competition Comission approval

Emirates-based healthcare provider Al Noor Hospitals said its proposed merger with Mediclinic has been recommended for approval by the South African Competition Commission.

The Commission's recommendation will now go to a South African Competition Tribunal hearing which is expected to take place on 27 January.

Al Noor said the Namibian Competition Authority has given its unconditional approval for the combination.

The merger, which the company said would create one of the world’s largest acute hospital operators outside the US, was announced in October and approved by Al Noor shareholders in December.

Under the terms of the deal, Al Noor will acquire Mediclinic, with shareholders receiving 0.625 new shares for each Mediclinic share held.

The proposed deal will result in Mediclinic shareholders owning 84% - 93% of the enlarged group.

At 1405 GMT, Al Noor shares were up 1.9% to 1,143p.