• insights-banner

    In the press

Healthcare Business International quotes Paul Arathoon on Babylon Health's new restructuring plan and issues for shareholders

Shareholders in digital health company Babylon, which was worth $4.2bn when it listed in October 2021, face being wiped out as it reverts to private ownership.

Paul Arathoon, Partner, comments for Healthcare Business International:

“If the proposals go ahead, the retail shareholders get absolutely no compensation. AlbaCore will strip out the profitable operating bits it considers to be worth saving and the shareholders will be wiped out.

“Shareholders are looking at quite a loss, but obviously that’s life on the public market. The US is a very litigious place, so there will likely be some legal recourse. Looking at the May release, you can see the additional $35.4m from AlbaCore is subject to finance terms and conditions, so the question is what happens to Babylon if it doesn’t come through?

“As soon as the US SPAC transaction came along, 90% of shareholders decided to sell meaning the market cap was around $300m short of what Babylon would expect, which had to be raised through debt. Now the debt holder is in control of the process, and the interest rates of any new debt it might need is much higher than it would have been 12-18 months ago.

“Babylon didn’t raise the money it thought it would, so it couldn’t do everything it wanted to do. But I expect AlbaCore will want to retain key people, and it clearly looks at the business model and thinks it could work.”

Read the full article in Healthcare Business International here (paywalled).

Our thinking

  • Women in Leadership: Planning for the future

    Sarah Wigington

    Events

  • Personnel Today quotes Rose Carey on Italy’s new digital nomad visa

    Rose Carey

    In the Press

  • Essential Intelligence – UAE Fraud, Asset Tracing & Recovery

    Sara Sheffield

    Insights

  • IFA Magazine quotes Julia Cox on the possibility of more tax cuts before the general election

    Julia Cox

    In the Press

  • ‘One plus one makes two': Court of Protection finds conflict of interest within law firm structure

    Katie Foulds

    Insights

  • City AM quotes Charlotte Duly on Tesco’s Clubcard rebrand after losing battle with Lidl

    Charlotte Duly

    In the Press

  • Michael Powner writes for Raconteur on AI and automating back-office roles

    Michael Powner

    In the Press

  • Arbitration: Getting value for your money

    Daniel McDonagh

    Insights

  • Portfolio Adviser quotes Richard Ellis on the FCA's first public findings against former fund manager Neil Woodford

    Richard Ellis

    In the Press

  • eprivateclient quotes Sally Ashford on considerations around power of attorney

    Sally Ashford

    In the Press

  • Michael Powner and Sophie Rothwell write for Law360 on anti-bias protection

    Michael Powner

    In the Press

  • Computer says No - my prediction of UK border chaos on Wednesday 1 January 2025

    Paul McCarthy

    Quick Reads

  • Providing pro bono support on social housing issues

    Susan Field

    Insights

  • Charles Russell Speechlys Partner Promotions 2024

    Bart Peerless

    News

  • Has a new route to recovery opened up for victims of banking payment frauds?

    Katie Bewick

    Insights

  • Charles Russell Speechlys boosts its Real Estate offering with the arrival of Kim Lalli and Rafe Courage

    Kim Lalli

    News

  • Cosmopolitan quotes Sarah Jane Boon on how to deal with break-up admin

    Sarah Jane Boon

    In the Press

  • Property Patter: Building and Fire Safety Miniseries - part 1

    Michael O'Connor

    Podcasts

  • Sex discrimination at work

    Michael Powner

    Insights

  • Daniel Sullivan writes for Law360 on hundreds of 'rogue filings' being lodged via Companies House and advice for affected banks

    Daniel Sullivan

    In the Press

  • The Financial Times, The Guardian and City AM quote Sophie Dworetzsky and Dominic Lawrance on Labour’s proposed tax crackdown on non-doms

    Sophie Dworetzsky

    In the Press

  • London’s Knowledge Clusters: From Emerging to Maturing – Start Ups on the Global Stage?

    Lynsey Inglis

    Quick Reads

  • Précisions sur le prix d’acquisition des titres souscrits en exercice de BSPCE : nouvelles perspectives pour les starts-ups en France?

    Raphaël Bagdassarian

    Quick Reads

  • Fashion and the Green Claims Code brought into focus by open letter from the CMA.

    Ilona Bateson

    Quick Reads

  • Will new powers at Companies House stop or slow down fraudsters?

    Peter Carlyon

    Quick Reads

  • Charles Russell Speechlys hosts international arbitration event in Dubai

    Peter Smith

    Quick Reads

  • It’s not just a High Court decision, it’s a successful M&S High Court Decision

    Sophie Willis

    Quick Reads

  • The ongoing fight against fakes

    Charlotte Duly

    Quick Reads

  • Planning essentials case update: when can an enforcement notice against an unlawful use also require the removal of related structures?

    Sadie Pitman

    Quick Reads

  • Court of Appeal Confirms that Property Guardians Occupied an HMO

    Christopher Gothard

    Quick Reads

  • Les entreprises en difficulté ou en croissance peuvent-elle se passer des equity lines? Can distressed or growth companies do without hybrid bonds?

    Dimitri-André Sonier

    Quick Reads

  • Danish tax authority wins "cum-ex" tax fraud case at the Supreme Court

    Hugh Gunson

    Quick Reads

  • Dubai Court of Cassation Extends Arbitration Agreement Across Subsequent Contracts

    Peter Smith

    Quick Reads

  • Good news for users of the Madrid System

    Charlotte Duly

    Quick Reads

  • Michael Gove's announcement on transitional period for two staircase requirement for new residential buildings

    Melanie Hardingham

    Quick Reads

  • Venture capital funds agree 'investment compact' to increase investment in UK high-growth companies

    Mike Barrington

    Quick Reads

  • Navratri at Charles Russell Speechlys

    Arjun Thakrar

    Quick Reads

  • Return to the full office week?

    Quick Reads

  • Is the opening up of Nexity's services division capital a consequence of the difficulties facing the French property sector?

    Dimitri-André Sonier

    Quick Reads

  • A Labour government: what might be in store for personal taxation?

    Sarah Wray

    Quick Reads

Back to top