National Medical Care Company (NMC) inked a share purchase agreement on 22 January 2023 to acquire the entire share capital of Jiwar Medical Services Company for SAR 65 million.
NMC indicated that Smartmed Investment Company is the seller, adding that the purchase price will be paid fully in cash through internal sources and bank loans, according to a recent bourse filing.
Jiwar Medical Services is a 66-bed healthcare firm in Makkah, with direct access to Al Haram. It provides urgent medical care services to pilgrims and people visiting the Holy Mosque and working nearby.
The Makkah-based company is forecast to commence operations in the second quarter (Q2) of 2023.
Based on the unaudited financial statements, Jiwar Medical Services incurred net losses worth SAR 5.12 million and SAR 3.17 million in 2020 and 2021, respectively.
The transaction aligns with NMC’s investment strategy to enlarge its business in the health services sector and leverage growth opportunities available in the market.
The Tadawul-listed firm will announce the conclusion of the acquisition process, the financial impact, and any further development in due course.
Last year, NMC penned a SAR 42 million deal to renovate Riyadh Care Hospital. ZAWYA