Fakeeh Care moves to full ownership of Al Fagih

Fakeeh Care goes binding on Al Fagih: Tadawul-listed Dr. Soliman Abdel Kader Fakeeh Hospital Co. (Fakeeh Care) signed a binding share purchase agreement to buy 100% of Dr. Mohammed Bin Rashed Al Fagih & Partners Co. (Al Fagih) for SAR 1.6 bn in banknotes, the company said in a disclosure to Tadawul yesterday. The agreement builds on a non-binding offer that was first flagged back in November.

What Fakeeh is buying: A single 350-bed multi-specialty hospital in central-east Riyadh, opened in October 2022 and currently operating 238 beds and 109 outpatient clinics out of a 192-clinic, 93k sqm complex.

Who’s selling? Dallah Healthcare with 31.21%, founder Dr. Mohammed Rashid Al Fagih with 18.2%, and 38 minority holders accounting for the remaining 50.59%. Dallah’s slice of the check amounts to SAR 497.98 mn, according to a separate disclosure.

How Fakeeh is paying: A mix of self-financing and bank debt on terms in line with the group’s existing credit lines.

The pitch

Fakeeh’s existing presence in the capital is a 185-bed hospital. Bolting on Al Fagih’s 350 beds gives it a 535-bed, two-site cluster — the kind of footprint that’s hard to build organically in Riyadh’s increasingly crowded private-hospital market.

Fakeeh says the agreement also broadens the payer mix. Its traditional positioning skews to VIP and top-tier ins., while Al Fagih brings in cashpay patients and Class B / Network 6 insured volumes. Cost synergies and revenue cross-pollination are the pitch from here.

Swinging to the black: Al Fagih swung from a net loss of SAR 73 mn in 2023 — its first full year — to a net income of SAR 15.7 mn in 2024, rising to over SAR 48 mn in 2025. Revenue was also up 24% to SAR 466 mn in 2025, more than double the SAR 213 mn it booked in 2023.

Conditions and timing: General Authority for Competition non-objection, third-party consent, and no regulatory roadblocks. The agreement lapses if these conditions aren’t cleared within six months.

ADVISORS- PwC is advising on the financial side, and White & Case is providing counsel.

Zooming out: the wider Saudi healthcare reshuffle

This is the latest in a steady drumbeat of consolidation among the Kingdom's listed hospital operators, and it lines up neatly with the Health Sector Transformation Program — which is leaning hard on the private sector to absorb a chunk of the Kingdom’s care delivery.

The moves: Dallah has been on its own M&A run for years with Kingdom Hospital, Makkah Medical Center, Al Salam, and most recently Al Ahsa — while National Medical Care has stitched together Jeddah’s Chronic Care Specialized Medical Hospital and Makkah’s Jiwar Medical Center. Meanwhile, Sulaiman Al Habib and Mouwasat are scaling mostly organically with new builds in Riyadh, Dammam, and beyond.

ALSO FROM FAKEEH CARE- The group’s net income was down 47% to SAR 38 mn in 1Q 2026, mostly on Ramadan and Eid Al Fitr seasonality eating into operating days, and ramp-up costs at the new DSFH Madinah hospital. Revenue was up 3.3% y-o-y to SAR 724 mn.

The dividend situation: The board separately recommended an SAR 0.33 per share dividend for FY 2025, totaling SAR 75.9 mn.