Mediclinic’s underwhelming half-year results have raised questions about Remgro’s holding in the group It might be worth getting a second opinion of stalwart investment company Remgro after the market cast a jaundiced eye across the interim numbers posted by Mediclinic International, its 44.6%-held private hospitals subsidiary.Since the initial euphoria died down around Mediclinic securing a primary listing on the London Stock Exchange (LSE) — via a reverse takeover of hospital group Al Noor — sentiment for the shares of the enlarged private hospitals conglomerate has looked vulnerable. In three months Mediclinic lost more than 30% of its market value on the JSE. After the release of interim results last week, the share dropped almost 10% in one day.Understandably, Remgro’s shares on the JSE have been dragged down by developments at Mediclinic. In the end-June financial results Mediclinic accounted for a chunky 44% of Remgro’s intrinsic value of R158bn.While existing Remgro shareho...
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