Eversheds Advises on DIB’s Resolution with NMC Healthcare

Eversheds Sutherland has provided legal counsel to Dubai Islamic Bank (DIB), one of the leading Islamic banks in the UAE, in reaching a comprehensive settlement with NMC Healthcare group (NMC), a prominent integrated private healthcare provider in the UAE. 

The agreement marks the resolution of various disputes stemming from NMC’s engagement in an administration and restructuring process. Under the global settlement, all existing and pending litigation between the parties, as well as with associated third parties, has been resolved. 

As part of the settlement, DIB is set to receive cash consideration and Holdco notes to settle specific claims. The Holdco notes represent instruments issued to legacy creditors in exchange for their acknowledged claims, in line with the Abu Dhabi Global Market (ADGM) restructuring approved by these creditors in September 2021. 

This agreement positions DIB as an economic owner of NMC Holdco SPV LTD (NMC HoldCo), the new holding company of NMC, which is incorporated in the ADGM under a deed of company arrangement. 

Furthermore, the settlement entails the cessation of all ongoing proceedings among the parties, with no party admitting liability. 

Eversheds Sutherland’s multi-jurisdictional cross-border team was led by Rebecca Copley, Partner and Head of Disputes for the Middle East (pictured left), and fellow UK Litigation Partners James Southworth and Sheena Buddhdev alongside a large team of partners and Associates across the Middle East, Europe and Asia. 

In a joint statement, spokespersons for NMC and DIB said: “This amicable settlement and resolution is to both parties’ mutual benefit, enabling NMC to remain focused on providing vital healthcare services to millions of patients across the UAE annually. NMC looks forward to working in close partnership with DIB once more, and DIB looks forward to working with NMC as a supportive and valued stakeholder, creating a win-win situation for both organisations”. 

Rebecca Copley, Eversheds Sutherland, commented: 

“We worked very closely with DIB, using our multi-jurisdictional team to its full effect. The case quickly became a “one to watch” for the UAE legal community and internationally”.  

Habib Al Mulla in the UAE represented DIB. For further information click here.

Terms of the deal, including the settlement value, are confidential.