IDH to launch new diagnostic venture in Saudi Arabia with $19.7mln estimated investment cost

IDH to launch new diagnostic venture in Saudi Arabia with $19.7mln estimated investment cost

Cairo - Integrated Diagnostics Holdings (IDH) has signed a Joint Venture (JV) agreement with Al Makhbaryoun Al Arab (Biolab) and Izhoor Holding Medical Company (Izhoor) to launch a new diagnostic venture in Saudi Arabia.

IDH Group (IDH and its Jordanian subsidiary Biolab) will own 50% of the new JV and the remaining 50% will be owned by Izhoor, a company owned by Fawaz Alhokair, Chairman of the renowned Saudi retail group, Fawaz Alhokair Group, according to a press release on Monday.

The proposed transaction has an estimated investment cost of $19.70 million (SAR 73.70 million). IDH’s equity investment into the venture is estimated to stand at $4.70 million, of which $2.80 million will come from the holding company and $1.90 million from Biolab.

The new venture’s operations are targeted to begin within four to six months from the signing of the agreement on 27 October 2022, subject to the receipt of all necessary regulatory approvals and licences.

Through this strategic partnership, IDH will enter the attractive Saudi Arabian healthcare market, further expanding the company’s geographic footprint and patient pool.

Hend El Sherbini, IDH CEO, said: “The Kingdom represents an attractive new market for IDH with ample room for future growth, and provides us with an