UAE health firm Burjeel plans Saudi expansion as IPO nears

UAE health firm Burjeel plans Saudi expansion as IPO nears

United Arab Emirates healthcare provider Burjeel Holdings, established under VPS Healthcare, on Wednesday announced plans to expand into Saudi Arabia ahead of its initial public offering (IPO) later this year.

The company, which owns and operates hospitals and other healthcare facilities, will invest up to $1 billion in the kingdom by 2030 as part of a memorandum of understanding (MoU) signed with the Ministry of Investment that includes working with local institutions.

For all the latest headlines follow our Google News channel online or via the app.

“It's a non-binding MoU but we are taking it seriously and I think the market is big. The potential is huge and we think that it is an achievable number,” CEO Shamsheer Vayalil told Reuters by phone.

Burjeel is in talks to partner with public and private healthcare facilities, including hospitals, in Saudi Arabia, he said.

“Our deployment will be more towards capex and towards operating ... such assets and probably some refurbishment based on the condition of those assets that we are targeting right now.”

The investments in Saudi Arabia will likely be financed with project debt, though no talks with banks have begun, the CEO said.

Reuters reported in April that the Emirati healthcare firm hired JPMorgan and