Gulf Islamic Investments Acquires Stake in Saudi’s Abeer Medical Company

The UAE-headquartered Gulf Islamic Investments (GII) has signed agreement to acquire a significant equity stake in Abeer Medical Company (Abeer), the largest affordable healthcare services provider in Saudi Arabia, in a deal valued at an estimated $160 million.

This is the second big deal for GII in Saudi Arabia in the healthcare sector. The earlier one saw Saudi firm Jadwa selling its majority stake in Al Meswak Dental Clinic, Saudi Arabia’s largest dental and dermatology network, to GII and Jadwa Healthcare Opportunities Fund 5.

The deal with Al Meswak was valued around $530 million. Al Meswak operates over 80 facilities in 20 Saudi cities, with 700 plus doctors and 450,000 patients treated annually.

GII is a leading Shari’ah-compliant alternative investment company with $4 billion of assets under management (AUM) and identified Abeer as a leading partner to expand GII’s healthcare assets in the Kingdom – now worth some $430 million.

GII’s growth strategy for Abeer includes expanding the number of hospitals and clinics in addition to the roll-out of additional brands to widen Abeer’s scope and geographical footprint of healthcare services to the Kingdom’s residents and visitors.

GII co-founder and co-CEO Mohammed Alhassan said that increasing their healthcare portfolio in Saudi Arabia is part of a wider expansion of GII’s activities in the Kingdom.

“Our partnership will accelerate Abeer’s growth trajectory to include new cities and segments, supporting the capable leadership of Abeer’s founder Mohammed Alungal and his dedicated team of 2,000 staff,” he added.

Mohammed Alungal, Abeer’s President & CEO, said that GII’s investment will enable Abeer to boost the company’s network of 14 medical centres and two general hospitals – all with clinics – with a blend of organic growth acquisitions and investment in new healthcare facilities.

“This is a very exciting development for healthcare landscape in Saudi Arabia Abeer will continue to pioneer its commitment to providing Affordable Quality Healthcare as the group is celebrating its 25^th anniversary this year,” Alungal added.

In his comments, Pankaj Gupta, GII co-founder and co-CEO, said that Abeer is highly attractive to GII’s investors, with strong growth potential through multiple healthcare channels.

“GII’s development plans can multi-fold Abeer’s already impressive revenue and EBITDA numbers over the next five years, bringing both an expansion of the medical services available across the Kingdom and an attractive return for our investors,” he added.

About GII

GII seeks to achieve superior, sustainable returns and long-term value for its investors and shareholders by investing in curated growth and income-generating opportunities. It believes in ‘innovation with a purpose,’ and works to build the sustainability of the ecosystem in which it operates.

Under the leadership of a committed management team, supported by prominent shareholders from the Arabian Gulf region, GII deploys private capital across diverse alternative asset classes, including real estate, private equity, and venture capital. GII’s client network includes UHNWIs, family offices, banks, institutions, and sovereign wealth funds in the GCC and Asia.

The UAE entities of GII are regulated by the Emirate’s Securities and Commodities Authority (SCA), the Dubai Financial Services Authority (DFSA) and the Financial Services Regulatory Authority (FSRA).