Robust forecast for Mediclinic’s growth in UAE
Its shares are battered despite the private hospital group's plan to alleviate Middle East headache
Shares in Mediclinic International were battered on Wednesday in spite of the Remgro-controlled private hospital group issuing a stronger growth prescription for its key Middle East operations for the 2019 financial year and beyond. The Middle East segment, which was markedly expanded after the reverse takeover of London Stock Exchange listed private hospital group Al Noor in late 2015, has been a headache for Mediclinic after disappointing profit performances over the last two years. At the release of year to end-March results on Thursday, outgoing Mediclinic CEO Danie Meintjes said the Middle East division was expected to deliver revenue growth in the low double-digit percentage range, with additional bed capacity coming on stream in the second half of the financial year. The Middle East division straddles Abu Dhabi and Dubai, two of the seven emirates that make up the United Arab Emirates (UAE). The ebitda margin for existing operations was expected to increase by about 250 basis...
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