Sulaiman Al Habib Medical Group begins IPO’s procedures: CEO

Dr. Sulaiman Al Habib Medical Group is currently conducting the procedures of the initial public offering (IPO) that will be disclosed through official channels, CNBC Arabia reported, citing Sulaiman Al Habib’s CEO Nasser Al Huqbani.

The IPO will include the firm’s total assets and activities, including buildings, hospitals, and lands plots inside and outside Saudi Arabia (utilized and unutilized), he said.

Al Huqbani further added that it was early to set the offering size now, as it depends on the IPO’s final price, which will be set through the subscribed financial institutions’ order book.

The company is currently establishing and developing 3 private health facilities in Saudi Arabia at a capacity of 1,180 beds, which will be added to the current capacity of 1,900 beds, CEO stressed.

The new facilities will be located in north of Riyadh Hospital in Al Sahafa neighborhood (500 beds) and two other hospitals (330 beds and 350 beds).

These facilities are expected to start operations between 2023 and 2024, Al Huqbani said.

On the other hand, the CEO estimated that the new projects cost SAR 8 billion, stating the company’s financial position is very strong to finance its projects from the group’s financial operations and through Islamic loans.

The company invests in several fields including business solutions, by providing IT solutions service, health information, applying hospital health system in a group of health facilities affiliated with the Ministry of Health and about 27 governmental hospitals. Similarly, the company manages and operates intensive care sector for six governmental agencies and provides services of home health care and medical diagnosis.

Recently, Bloomberg reported that Sulaiman Al Habib Group plans an IPO in February.

In September, the Capital Market Authority (CMA) approved Sulaiman Al Habib Group’s request to sell 52.5 million shares, or 15% of its capital in an IPO.