PureHealth’s IPO attracts Dhs265bn in orders

Abu Dhabi healthcare platform PureHealth has attracted $72bn (Dhs265bn) in investor orders for its $986m initial public offering (IPO) on the local bourse.

The IPO drew Dhs186bn in orders from professional investors within the UAE and the region. The tranche was oversubscribed 54 times the shares made available to the segment in the IPO while retail buyers piled in for 483 times the shares on offer, PureHealth said in a statement.

“There has been overwhelming demand for our IPO,” said Farhan Malik, founder and managing director of the healthcare platform.

“The IPO unlocks PureHealth’s credentials in transforming healthcare systems, underscoring our commitment to shaping the future of healthcare through continuous innovation and an unwavering pursuit of excellence, where we take PureHealth from Abu Dhabi to the world.’’

The strong investor demand shows that the appetite for listings in the Middle East remains healthy even as IPOs elsewhere struggle to gain traction.

The healthcare solutions provider priced its IPO at Dhs3.26 per share to raise Dhs3.62bn amid strong investor demand. The pricing implies a market valuation of around Dhs36.2bn at listing.

PureHealth offering is offering about 1.11 billion shares, equivalent to 10 per cent of the company’s total issued share capital. The company is expected to debut trading on the Abu Dhabi Securities Exchange on December 20, subject to market conditions and regulatory approvals in the UAE.

First Abu Dhabi Bank is the lead manager and lead receiving bank on the deal. WIO Bank and Al Maryah Community Bank are receiving banks. International Securities is the lead placement agent.

PureHealth’s exponential portfolio

Meanwhile, Abu Dhabi wealth fund ADQ consolidated several companies including the Abu Dhabi Health Services Company, known as SEHA, and the National Health Insurance Company, known as Daman, within Pure Health in January 2022 – creating the largest healthcare platform in the UAE.

The healthcare group now operates more than 25 hospitals, over 100 clinics, multiple diagnostic centres, health insurance solutions and pharmacies. PureHealth’s integrated healthcare ecosystem is significantly contributing to the global healthcare landscape while delivering on the country’s mission to elevate the health and wellbeing of citizens and residents.

The company acquired Circle Health Group, the UK’s largest independent operator of hospitals, for Dhs4.41bn in August and completed its more than Dhs1.8bn equity investment in US healthcare provider Ardent Health Services in May.

PureHealth is actively reshaping the future of healthcare through a strategic fusion of technology and data while pioneering innovative GenAI-driven solutions. It played a pivotal role in screening for Covid-19 infections in the UAE, and its IPO has been in the works for years.

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