Investor Confidence Soars in GCC Healthcare Market - JLL

Dubai, UAE; May 27, 2024 – JLL, a leading professional services firm specialised in real estate, investment management, and development consultancy services, has highlighted that as governments in the Middle East push for increased localisation to attain self-sustainability in the healthcare sector, the heightened investor confidence is driving sustained demand across the healthcare value chain in the region.

Recognising the promising landscape for the healthcare and life sciences sector in the MENA region, JLL recently advised a consortium led by UAE-based Fajr Capital to acquire a 65% stake in the ownership of the GCC business of Aster DM Healthcare. Having worked on 100+ healthcare projects in the region, JLL’s healthcare advisory team supported this prestigious transaction and ensured its successful outcome by providing comprehensive technical due diligence services to Fajr Capital.

Fajr Capital leads a consortium of investors whose investments will bolster the expansion plans of Aster DM Healthcare in key GCC markets such as the UAE and Saudi Arabia. The company’s long-term strategy will unlock value within the GCC’s dynamic healthcare landscape and enable greater access to quality services across physical and digital channels.

Sandeep Sinha, Head of Healthcare Consulting – MEA, JLL, said, “The GCC’s healthcare expenditure is projected to reach USD 124 billion in 2028. Under their economic diversification agenda, countries in the GCC are driving the transformation of this critical sector with infrastructure development, clinical capabilities, human capital development, digital transformation, and establishment of healthcare innovation hubs. This has attracted more private equity companies and witnessed an increase in active deal making, further positioning the region as a key healthcare player on the global stage.”

Supported by solid economic fundamentals and in line with national priorities, more regional players across the healthcare landscape in the GCC are acquiring local companies or international brands to build their portfolios and transform their business models. While economic diversification has propelled M&A growth in the region, JLL will continue to lend its expertise in commercial, technical and operational due diligence, business planning, feasibility studies, and market entry strategies, helping streamline transaction processes and boosting the competitiveness of the region’s prominent healthcare brands.

Across the Middle East and Africa (MEA) JLL is a leading player in the real estate and hospitality services markets. The firm has worked in 35 countries across the region and employs over 1900 internationally qualified professionals across its offices in Dubai, Abu Dhabi, Riyadh, Jeddah, Al Khobar, Cairo, Casablanca, Cape Town, Johannesburg and Nairobi. For further information, visit jll-mena.com.