Fakeeh Care inks NBO to acquire majority stake in Al-Faqih & Partners

Fakeeh Care seeks to acquire 75% interest in Al-Faqih & Partners Co

Dr. Soliman Abdel Kader Fakeeh Hospital Co. (Fakeeh Care) and its subsidiaries signed a non-binding offer (NBO) to acquire at least 75% interest in Dr. Mohammed bin Rashed Al-Faqih & Partners Co.

In a statement to Tadawul, the company said that the two parties have agreed on an initial valuation. The final value of the proposed transaction will be determined after completing the necessary studies and the due diligence process.

The NBO shall be effective from the date it is executed between the parties and remain valid for 180 days, unless otherwise agreed in writing.

PricewaterhouseCoopers Advisory Limited (PWC) was appointed as a financial advisor in respect of the proposed transaction.

Fakeeh Care plans to acquire at least 75% of the issued share capital of the target for consideration payable in cash. The final amount of consideration will be agreed at a later stage, the statement added.

There are no related parties to this transaction, the Saudi-listed company said, noting that the proposed transaction is subject to satisfactory completion of operational, financial, tax and legal due diligence and subject to obtaining the necessary/regulatory approvals to complete the transaction.

This announcement does not mean that the proposed transaction will be agreed between the parties, the statement noted, explaining that this offer is non-binding and for discussion purposes only. It does not constitute a definitive offer and does not create any legal or financial obligations on either party until the signing of the final share purchase agreement (SPA).

Any developments regarding the transaction will be announced in due course. On Oct. 24, Fakeeh Care’s board of directors approved starting negotiations with the potential sellers in Dr. Mohammed bin Rashed Al-Faqih & Partners Co. for the potential acquisition of a majority stake in the latter, Argaam reported.

Dallah Healthcare announced then that it is one of the shareholders in Dr. Mohammed bin Rashid Al-Faqih & Partners Co., holding a 31.21% stake.