Fakeeh Care acquires 50.01% of Diagnostics Elite for SAR 70M

Fakeeh Care secures controlling stake to fold Diagnostics Elite into its platform

Dr. Soliman Abdel Kader Fakeeh Hospital Co. (Fakeeh Care) acquired a 50.01% stake in Diagnostics Elite Co., a Saudi-based teleradiology and imaging services company, for SAR 70 million (aggregate of purchase consideration and capital contribution), according to a statement to Tadawul today, Dec. 2.

Fakeeh Care will purchase from Soliman Abdel Kader Fakeeh Real Estate Co. Ltd.—0.01%-owned by Fakeeh Care Group—30,506 shares of Diagnostics Elite, representing 50.01% of the company’s issued share capital, without profit to the seller. The remaining 49.99% shares will be held by the existing founding shareholders of the company.

The transaction aims to integrate Diagnostics Elite’s services into the group’s healthcare platform.

According to the terms of the transaction, for the purchase of the transferred shares, Fakeeh Care will pay Fakeeh Real Estate SAR 55.35 million in cash.

To assume the remaining capital commitments under existing share purchase agreements (SPAs), Fakeeh Care will contribute SAR 14.65 million directly to Diagnostics Elite, payable in accordance with those agreements.

The agreement includes standard conditions, covenants, representations, and warranties.

The completion of the deal will be subject to obtaining approvals from the General Authority for Competition (GAC) and Fakeeh Care shareholders on related-party transaction.

It also requires finalizing the corporate and regulatory procedures to amend the Articles of Association and Commercial Register of Diagnostics Elite to reflect the new ownership structure, as outlined in the agreement.

If any condition is not met, either party may terminate the agreement without liability, in accordance with its terms.

Diagnostics Elite’s current shareholders are Fakeeh Real Estate (owns 30,510 shares out of 61,000 issued shares, or 50.01% of capital), and the founders (six radiology consultants who collectively hold 30,490 shares, or 49.99% of capital).

The deal will be financed through Fakeeh Care’s internal resources.

Diagnostic Elite is a Saudi company offering teleradiology and radiation safety services to health care facilities in Saudi Arabia and other GCC countries. It operates and manages (O&M) radiology departments within hospitals and medical centers through its subsidiary Premier Imaging Medical Centers Co. (PIMC), delivering mobile imaging services. It boasts an inhouse developed picture archiving and communication system (PACs) and AI-optimized workflows.

The company’s O&M activities spans six medical centers—in Jeddah, Makkah, Madinah, Khamis Mushait, and Yanbu—with commitments for a further 10 medical facilities across Saudi Arabia, bringing the total to 16 O&M locations. This expansion will be funded by the transaction’s proceeds, the statement noted.

The transaction aligns with Fakeeh Care’s strategy to strengthen its diagnostic and technology-enabled healthcare services and further integrate specialized providers within its core healthcare platform. The deal is expected to generate clinical, operational and technological synergies over time and enhances Fakeeh Care’s positioning to participate in the Kingdom’s privatization initiatives by scaling an O&M-driven, technology-enabled diagnostics footprint.

A majority of the aggregate outlay is funding Diagnostic Elite’s technological capabilities as well as its O&M expansion to a targeted 16 medical facilities. Over time, the transaction is expected to generate clinical, operational, and technology synergies across Fakeeh Care Group’s network, the statement noted.

Fakeeh Care named its major shareholders Mazen Fakeeh, Ammar Fakeeh, and Manal Fakeeh as related parties, since they collectively fully own Soliman Abdel Kader Fakeeh Real Estate Co.

On Nov. 4, Fakeeh Care and its subsidiaries, Fakeeh Care Group, board approved plans to begin negotiations to acquire a majority stake in Diagnostics Elite, which would make it a subsidiary fully owned by Fakeeh Care, Argaam earlier reported.