Source: Forbes Middle East
UAE-based healthcare solutions provider PureHealth Holding said Monday its full-year revenue for 2023 surged 31.3% year-on-year to $4.5 billion (AED 16.4 billion) on the back of the successful integration of recent acquisitions.
Full-year performance
However, the healthcare solutions provider said its reported net profit for 2023 declined to $262.7 million (AED 965 million) from $1.2 billion (AED 4.3 billion) for the previous year, primarily due to a decline in COVID-19 business, the company said in its earnings report.
“Top-line growth coupled with cost-optimization and realized synergies across the group’s ecosystem have translated into earnings before interest, taxes, depreciation, and amortization (EBITDA) of $650 million (AED 2.4 billion),” PureHealth added.
The group’s total assets increased by $1.2 billion (AED4.1 billion) to $7.7 billion (AED 28.2 billion) in 2023, primarily due to the inclusion of the group’s $500 million investment in Ardent Health Services in May 2023 and proceeds of $990 million (AED 3.6 billion) from the bumper IPO in December 2023.
Acquisitions flurry
PureHealth’s strategic acquisition of Ardent Health Services in May has contributed to its growth in revenue and supported its global expansion strategy.
Further, in January 2024, PureHealth completed the acquisition of Circle Health Group, a leading UK hospital operator, for $1.2 billion (pre-debt), which marked a significant milestone in its global expansion strategy as it provided the UAE-based firm with immediate access to Britain’s largest private hospital network, comprising over 50 hospitals, 2,000 beds, and 8,500 dedicated employees.
The company, through its wholly-owned subsidiary SEHA, also successfully acquired Sheikh Shakhbout Medical City (SSMC) in a $600 million deal. SSMC, established as part of Abu Dhabi’s Economic Vision 2030, further positions PureHealth at the forefront of the region’s healthcare industry.
The consolidation of Circle Health Group and SSMC into its portfolio significantly expands the UAE company’s international and local reach, strengthens its market position, and unlocks growth opportunities, the company said.
Big numbers
PureHealth has over 100 hospitals, more than 300 clinics, 147 labs and more than 56,000 employees, according to the company.
Crucial quote
“PureHealth navigated a year of significant transformation in 2023, achieving robust growth that underscores the strength of its strategic vision and the dedication of its employees,” Group CEO Shaista Asif, who ranks ninth on Forbes Middle East’s 100 Most Powerful Businesswomen 2023 list, said in the statement
IPO proceeds
PureHealth Holding raised $986 million (AED 3.6 billion) through an initial public offering (IPO) in December 2023. The UAE-based healthcare solutions provider offered 1.11 billion shares, or 10% of its capital, at an offer price of $0.89 (AED 3.26) apiece in a heavily oversubscribed share offering.
The IPO proceeds will be used for general corporate purposes as well as to finance new growth opportunities, including potential acquisitions of hospital groups and ancillary healthcare assets in the Middle East, Americas, Europe, and the Far East regions.