Alliance Medical May Go On The Block

(Reuters) – Alliance Medical, a unit of Dubai International Capital (DIC), could be put up for sale within weeks if talks over an urgent cash injection into the UK-based company fail, a newspaper said on Friday.

The Gulf sovereign wealth fund has informally sounded out potential buyers in case the debt restructuring talks fail, the Times said, citing people close to the situation.

The newspaper said all parties involved hope a consensual deal will be reached by Sept. 16, when a standstill agreement with lenders expires.

The proposal under consideration would see DIC and the mezzanine lenders inject 35 million pounds of fresh cash into the company.

U.S investment bank Houlihan Lokey is advising Alliance Medical’s lenders, which include Lloyds Banking Group (LLOY.L), according to the Times. DIC is being advised by Blackstone Group (BX.N).

Alliance Medical was not immediately reachable. (Reporting by Karolina Tagaris; Editing by Gary Hill)