S&P cuts NMC Health, on watch

S&P said it downgraded NMC Health plc to BB from BB+ after the company disclosed it failed to correctly record the holdings and interests of two key shareholders and board members, and it failed to report certain transactions involving NMC shares. The agency also placed the rating on CreditWatch with negative implications.

“We view NMC's governance as weak, based primarily on NMC's announcement indicating its board was unaware of transactions made by its two main shareholders and board members. The rating downgrade reflects our view that NMC board has failed to maintain appropriate standards of corporate governance at NMC,” said S&P in a press release.

NMC is in the process of an independent review, which will initially focus on confirming its cash balance as of Dec. 15. The review is expected to be completed and its findings published before NMC finalizes and announces its full-year 2019 results. NMC's share price has fallen by about 70% over the last two months, attracting interest from two potential buyers, S&P said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.