Dallah agrees to buy 30 percent of al-Fagih company for SAR 129 million

Dallah Healthcare Holding Co.’s board agreed on Sept 20 to buy 30 percent stake in Dr. Mohammed Rashid al-Fagih & Co for SAR 129 million as part of the company’s growth and expansion plan, the company said in a statement to the Saudi bourse, Tadawul.

The deal will be financed from Dallah’s own resources as well as long-term sharia-compliant loans.

Dallah is particularly interested in negotiating a management contract  of the SAR 639 million hospital that al-Faqih plans to build in the 1st quarter of 2015 in east Riyadh. The hospital, which is expected to be completed in 2017, will have a capacity of 308 beds.

In March, Dallah appointed Samba Capital to advise and arrange for the potential acquisition of Erfan and Bagedo hospital in Jeddah, according to Argaam.

In July, the company agreed with Saudi British Bank to get a SAR 955.5 million sharia-compliant loan to finance construction of new medical facilities and hospitals against a promissory note. Dallah, which operates, manages and maintains  health complexes, has currently a SAR 45 million loan agreement with SABB.