|24 February, 2020

Saudi's Dallah Healthcare to acquire majority stake in Makkah Medical Center

Transaction in line with Dallah's expansion plan

Image used for illustrative purpose. Nurses wheel a patient in the emergency department at Al-Noor Specialist Hospital in Mecca September 30, 2014.

Image used for illustrative purpose. Nurses wheel a patient in the emergency department at Al-Noor Specialist Hospital in Mecca September 30, 2014.

REUTERS/ Muhammad Hamed

Saudi-listed Dallah Healthcare Company has signed a memorandum of understanding (MOU) with Makkah Medical Center Company for the acquisition of a majority stake for cash.

“The purpose of this transaction fulfils Dallah Healthcare Company's strategy concerning its expansion plan and supporting its market standing in providing premium medical services,” the firm said in a statement on the Saudi bourse.

The final value of the transaction will be paid in cash based on due diligence results, and the MoU will remain effective until 30 June 2020, the statement added.

Dallah Healthcare Company currently owns 7.5 percent of the shares of Makkah Medical Center Company that has a key private sector hospital in the holy city with a bed capacity of 120 beds and 40 clinics.

(Writing by Nada Al Rifai, editing by Seban Scaria)

(nada.rifai@refinitiv.com)

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© ZAWYA 2020

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