M&A WATCH-

#1- Al Hammadi Holding Company has signed an agreement to acquire a 40% stake in Wareed Medical Company — a medical laboratory and home healthcare provider — through a SAR 113 mn capital increase that will fund Wareed’s expansion, with no payout to existing shareholders, it said in a disclosure to Tadawul.

The details: The SAR 113 mn will be paid in installments, starting with SAR 20 mn upfront and the remainder over up to five years based on performance-linked milestones. Al Hammadi will finance the transaction from its internal resources as it looks to expand its integrated healthcare ecosystem, strengthen its position in the laboratory and home healthcare segments, and diversify revenue streams. The General Authority for Competition still needs to sign off on the move.

#2- Fakeeh Care Group inked a non-binding MoU to acquire a 50.01% stake in Saudi teleradiology provider Diagnostic Elite for SAR 70 mn, including a capital contribution to fund expansion, it said in a disclosure to Tadawul. The stake, purchased from Fakeeh Real Estate with no proceeds to Diagnostic Elite, is subject to regulatory approvals and corporate updates.

The details:The consideration comprises SAR 55.35 mn in cash for the shares and SAR 14.65 mn for expansion funding. Upon completion, Fakeeh Care will become the controlling shareholder. Diagnostic Elite currently operates six medical centers and plans to expand to 16 facilities across the Kingdom, with over 75% of the transaction outlay supporting growth and technology enhancements.

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