NMC Health CEO Prasanth Manghat Fired From Job
NMC Health CEO Prasanth Manghat’s dismissal has come as a shock to the stock market watchers
NMC Health CEO Prasanth Manghat has been recently dismissed and replaced by the current Chief Operating Officer Michael Davis. This news has come as a shock to the market watchers as they did not see it coming. According to the market watchers, Prasanth Manghat had a brilliant CEO who enabled the organization to reach its best financial performance in 2018. Hence, NMC Health CEO Prashant Manghat’s dismissal might result in a major change in the senior executive team as well. The Chief Financial Officer Prashanth Shenoy has also been granted an extended leave.
Last week, Dr. Shetty who was the Chairman and founder of the company stepped down from his current role. He established NMC Health in 1970 and turned it into UAE’s largest privately-owned healthcare facility. This led to an internal investigation behind Dr Shetty’s shareholding and discrepancies.
NMC Health CEO Prasanth Manghat’s dismissal also came as big news to the health industry officials who wanted NMC Health to release a statement on the reasons behind.
The problems in NMC started towards the end of December 2020 when a US investment firm Muddy Waters announced that there were discrepancies in the finances of NMC Health. According to Muddy Waters, the balance sheet of NMC had gaps which led the suspicion of the management for not being transparent enough.
Due to these reports, Dr Shetty was stopped from participating in the decisions of the Board of Directors. Since the Muddy waters report, NMC Health stocks dipped down. The stock reached its bottom, on February 7th when fingers were being pointed towards Dr Shetty. However, the stock rates started improving after that when Richard Chandler of Claremont Group decided to purchase shares of NMC Health. NMC Health is listed on the London Stock Exchange and will soon announce its 2019 results.