DUBAI- The administrators of hospital operator NMC Health are weighing the sale of the company's international fertility business, which could be worth more that $500 million, sources familiar with the matter said on Wednesday.

Administrators from Alvarez & Marsal were appointed in April to oversee NMC Health after months of turmoil over its finances. 

NMC, founded by Indian entrepreneur B.R. Shetty, is the largest private sector healthcare provider in the UAE.

The administrators have held early talks with banks about the potential sale ahead of a formal launch of the sale process, two sources said.

NMC's fertility business in the UAE is not for sale, the sources said.

"A range of options are being considered. No formal process has been launched," the administrators, Alvarez & Marsal, said in an email to Reuters.

NMC acquired a controlling stake in Spain-based fertility business Clinica Eugin in 2015 for an enterprise value of 143 million euros ($161.23 million). The company also has operations in Italy, Portugal, Sweden, Brazil and Columbia.

Eugin's IVF business is said to have earnings before interest, taxes, depreciation, and amortisation (EBITDA) of between $70 million and $90 million, one of the sources said.

A second source said the business is worth more than $500 million, based on a 10-15% multiple over EBITDA.

IVF is a growth business for investors. The global IVF market is expected to reach $37.7 billion by 2027, increasing at a compounded annual growth rate of 9.5%, a report by consultancy Grand View Research said.

($1 = 0.8869 euros)

(Editing by Jane Merriman) ((Hadeel.AlSayegh@thomsonreuters.com; +971566883310;))