Jada Fund of Funds company, a unit of the Saudi sovereign wealth fund, has invested $250 million (920 million riyals) in a fund supporting the healthcare sector in the Kingdom.
Details
Other investors from the Middle East and Europe have also backed the new fund by “TVM Capital Healthcare,” according to Helmut Schuehsler, Chairman and CEO of TVM, which invests in healthcare in Dubai and Singapore.
So What
Schuehsler explained that the fund, named “Afiyah,” will invest in Saudi healthcare companies.
Additionally, it will target international companies looking to expand into the Kingdom.
This will help attract foreign investment into the country, he said.
He also noted that the fund will focus on treatment centers and specialized clinics.
He revealed that the fund is prepared for its first four investments.
Some Context
Afiyah will be one of the first investment tools focused on the healthcare sector in Saudi Arabia.
It aims to benefit from plans to “enhance the role of the private sector” in the industry.
This is part of policies to diversify the national economy and provide local job opportunities.
These efforts have contributed to making Saudi physician “Sulaiman Al-Habib” one of the wealthiest individuals in the world, with a fortune exceeding $11 billion.
This is due to the rising value of the hospital chain bearing his name since the medical group’s listing on “Tadawul” in 2020.
A clear indication of investors’ interest in local healthcare companies was the oversubscription of the initial public offering of “Soliman Fakeeh Hospital” in Riyadh 119 times.
The IPO attracted purchase orders worth $91 billion from institutional investors this month.
