Saudi German Hospital concludes AED 370 million Islamic facility
Funds to be used for operational expansion and increased service offering.
Emirates Islamic, together with Mashreq Bank, Dubai Islamic Bank and Arab African International Bank, today announced the successful conclusion of an AED 370 million syndicated financing facility for Emirates Healthcare Development Company, the owner of Saudi German Hospital, Dubai.
The capital raised from the Shari'ah-compliant syndicated finance will be used for the operation and expansion of the hospital complex, allowing Saudi German Hospital to offer more specialised treatments and services to its customers.
Commenting on the transaction, Engr. Sobhi Batterjee, Chairman of the Saudi German Hospitals Group said, “We would like to thank Emirates Islamic and the participating banks for the support extended to our strategic expansion projects.” He further added, “There are enormous healthcare opportunities that exist in the UAE. We are witnessing the increasing role of the private sector in providing quality medical care, which contributes to the positioning of Dubai as the healthcare hub of the region. This also helps in promoting medical tourism.”
Emirates Islamic acted as the coordinating bank as well as Investment and Security agent with Mashreq Bank and Dubai Islamic Bank acting as Initial Mandated Lead Arrangers and Bookrunners. Arab African International Bank was the Mandated Lead Arranger for the transaction.
Jamal Bin Ghalaita, CEO of Emirates Islamic added, “We are very pleased to announce our role in this incredibly significant opportunity for one of the UAE’s leading healthcare providers. This deal continues our long-term strategic relationship with Saudi German Hospital, after acting as the Mandated Lead Arranger in the initial syndicated facility for the original hospital complex construction in 2007. As a homegrown bank, we firmly believe in supporting projects that will raise the regional and global profile of the country’s medical institutions and position the UAE as the healthcare hub of the wider Middle East region. This is also in line with the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, to make Dubai a hub for medical, family and shopping tourism and welcome over 500,000 medical tourists with the advent of Expo 2020 Dubai.”
A Mashreq Bank spokesperson further explained, “The healthcare industry is an integral part of UAE’s Vision 2021 for a world class healthcare system, and our participation in this project is in line with Mashreq Bank’s commitment to support the same. We have seen a strong momentum in investments within the healthcare portfolio, and are proud to be associated with Saudi German’s expansion plan to contribute to this vision of UAE.”
Sharing similar sentiments, a Dubai Islamic Bank (DIB) spokesperson stated, “As the largest Islamic bank in the UAE, DIB has been actively involved in supporting the development of the health care sector in the country. The Saudi German Hospital financing is an excellent example of facilitating the growth of a world class facility that is playing a major part in establishing Dubai as a medical hub. DIB’s participation as a Mandated Lead Arranger and Bookrunner further cements our commitment to the sector and the UAE government’s Vision 2021.”
Tamer Khalifa, Regional General Manager of Arab African International Bank (AAIB) also highlighted, “The Saudi German Hospital transaction is in line with AAIB’s strategy to expand its regional footprint through partnering with key market players across all industries. We believe that Saudi German Hospital has established itself as a leading regional healthcare provider and is well positioned for future growth. With the strategic expansion of its operations, the Group’s hospital in Dubai will be an exceptionally unique medical facility. We are proud to be part of this landmark transaction, which bodes well with UAE’s National Agenda for Vision 2021.”