UAE’s M42 to Acquire European Dialysis Clinic Chain Diaverum

Abu Dhabi’s M42, a newly created joint venture by Mubadala Investment Company and G42, has acquired Bridgepoint Group’s European dialysis clinic chain Diaverum making M42 the largest healthcare company in the Middle East.

M42 will acquire 100% of the company from Bridgepoint according to the agreement between the two companies. Diaverum is a leading global renal care company that provides essential, life-sustaining dialysis treatments to patients.

Founded in 1991, Diaverum was acquired by Bridgepoint Group in 2007, is currently the world’s third-largest provider of dialysis services, operating across 23 countries, with 440 clinics and over 13,000 employees.

The company’s focus is haemodialysis, in conjunction with a portfolio of treatments ranging from preventive care, peritoneal dialysis and home care to the coordination of patients’ comorbidities and their preparation for kidney transplantation.

Diaverum has an extensive in-house proficiency in digital transformation and Artificial Intelligence applications. Its proprietary digital care delivery model drives increased patient longevity and reduces hospitalisation, while also contributing to operational efficiency and growth.

Diaverum is supported by a dedicated management team with broad international healthcare experience, who are committed to improving medical outcomes for patients and continuing to drive innovation in digital care delivery.

M42’s Landmark Strategy

It also represents a landmark strategic investment for M42 as both companies share a focus on specialty healthcare, with an aim to be at the forefront of integrating AI and technology into patient care.

The combination of M42 and Diaverum represents an opportunity to leverage both companies’ clinical excellence and cutting-edge technological expertise to expand healthcare services and Healthtech solutions across both existing and new markets.

Dimitris Moulavasilis, CEO of Diaverum, said that they were pleased to join M42’s integrated global network as M42 is a perfect fit for Diaverum’s future, and the combination of the two organisations will further strengthen his company’s position as a global leader in renal care.

“Together, we will be in an even greater position to drive international growth and continue transforming the industry through patient-centric digital innovations while delivering and broadening access to the highest quality renal care,” he said.

He also expressed gratitude to Diaverum’s employees across the world, who were making a difference in their patients’ lives every single day. They have been integral in developing Diaverum and successfully supporting this transaction, he added.

Hasan Jasem Al Nowais, CEO of M42, said that M42’s acquisition of Diaverum represents a major milestone in his company’s global expansion strategy. Diaverum is an exceptional company, providing vital treatments that enable patients suffering from chronic kidney disease to live fulfilling lives.

“Its pioneering digital care offering fully aligns with M42’s focus on leveraging advanced technological solutions to deliver precise, personalised patient care. I look forward to working with Diaverum’s management team to address the critical challenge that chronic kidney disease represents to countries’ healthcare services around the world,” he added.

The deal, which is subject to customary regulatory approvals, is expected to close in the second half of 2023.

Citigroup acted as exclusive financial advisor, White & Case as legal advisor, KPMG as financial and tax advisor and LEK as commercial advisor in the transaction.

Gulf investors have been eyeing opportunities in Europe and elsewhere amid another round of global volatility, supported by proceeds from oil sales after prices last year reached their highest levels since 2008.

It may be recalled that G42 set up a $10 billion fund to invest in emerging technology in high-growth regions around the globe as it looks to expand its investment portfolio in August last year. A couple of months later In October, Mubadala Health and G42 Healthcare signed an agreement to boost collaboration and find innovative solutions to treat chronic diseases.