UAE’s Amanat buys Cambridge Medical in $232m deal

UAE’s Amanat buys Cambridge Medical in $232m deal

United Arab Emirates-based Amanat Holdings, which invests in health care and education, has acquired a local rehabilitation firm for an enterprise value of $232m, underlining the robust demand for specialist medical services in the Gulf region.

Amanat said it bought Cambridge Medical and Rehabilitation Center following a bidding process through a combination of cash and debt from TVM Capital Healthcare, a private equity firm focused on emerging markets.

Amanat's shares rose as much as 2.6 per cent, the most since January 21. The stock pared gains and traded 2.2 per cent higher as of 12.17pm local time, the third-biggest increase among 37 members of the DFM General Index, which was up 0.1 per cent.

Cambridge Medical and Rehabilitation Center is a post-acute care and rehabilitation provider, with more than 250 beds across three facilities - two in the UAE and one in Saudi Arabia. It reported revenue of $75.3m and net income of $15.2m for 2020.

Aging populations and rising life expectancy have boosted demand for health care in the region. NMC Health has attracted considerable interest for its UAE and Oman hospitals, while Saudi Arabia's largest provider of dental care is considering a range of strategic options including a sale.

"Post-acute care and