Morocco’s largest private health-care provider plans to raise new equity from Gulf wealth managers and issue bonds to assist finance a $1.6 billion expansion into Saudi Arabia and the United Arab Emirates.
Akdital Holding aims to open up to eight new clinics across the two Gulf countries by 2030, Rochdi Talib, the company’s Chief Executive Officer, notified Bloomberg.
Around $200 million of that investment will go toward developing diagnostic centres in the region, he declared. While Talib did not disclose detailed locations, he identified Mecca and Dubai as strategic priorities.
The Casablanca-based company has experienced strong growth in Morocco’s private health-care sector in recent years, boosted by regulatory reforms and increased spconcludeing power among the counattempt’s expanding middle class.
Since raising $112 million in a local initial public offering in 2022, Akdital has grown to roughly 40 hospitals, covering more than half of Morocco’s provinces.
Rising competition at home
Its international push launched in July with a contract to lease and operate Al Mishari Hospital in Riyadh. The expansion comes as Akdital faces intensifying competition from private clinics at home.
By 2030, Talib estimates the company will generate between 40% and 50% of its revenues from foreign operations.
To fund the Gulf expansion, Akdital will rely heavily on its property subsidiary, Tazak, which will raise about $700 million to acquire land and build hospitals in the region.
Family offices in Morocco, Saudi Arabia, the UAE, and other parts of the Arab world are expected to inject capital into Tazak. The company then plans to convert Tazak into a publicly listed Real Estate Investment Trust on the Moroccan stock exalter by 2027.
Akdital may also draw on private equity and domestic debt markets to complete the $1.6 billion funding package. The firm is tarreceiveing 800 million dirhams ($86 million) through a domestic bond issuance before the conclude of the year, Talib added.
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