Saudi Arabia healthcare group Fakeeh Care weighs IPO, appoints HSBC, say sources

Saudi Arabia healthcare group Fakeeh Care weighs IPO, appoints HSBC, say sources

Fakeeh Care did not immediately respond to a request for comment when contacted by Reuters on Sunday. HSBC declined to comment.

The group opened its first hospital, named after its late founder Dr. Soliman Fakeeh, in 1978.

The company has a total bed capacity of over 1,400 with over 1,000 doctors and 2,000 nurses, according to its website.

Riyadh has been encouraging more family-owned companies to list in a bid to deepen its capital markets as part of reforms aimed at reducing the country’s reliance on oil revenue.

Saudi Exchange, the largest and most liquid stock market in the Arab world, has seen a surge of listings from the healthcare sector in the last three years, including hospitals group Dr Sulaiman Al Habib, pharmaceutical group Al Nahdi Medical Co, and generic drugmaker Jamjoom Pharmaceuticals Factory Co.

Saudi Arabia has allocated 189 billion riyals ($50.4 billion) in its 2023 budget to health and social development, a joint second alongside education as the biggest expenditure for the country following the military.