Care announces name change of NMC Saudi Arabia to Saudi Medical Care Group

National Medical Care Co. (Care) announced in a bourse statement today that NMC Saudi Arabia, which owns 49.2% of its shares, changed its name to Saudi Medical Care Group.

According to data compiled by Argaam, in March 2019, NMC Healthcare and Hassana Investment Company, the investment arm of General Organization for Social Insurance (GOSI), signed an agreement to form a joint venture (JV) in healthcare.

The JV is formed by NMC’s contribution of its five assets in Saudi Arabia apart from SAR 250 million ($66 million) of additional cash injection by NMC, as well as GOSI and Hassana’s contribution of their 38.88% stake in Care at a price of SAR 54 per share.

Following the closing of the transaction in May 2019, NMC owned 53% stake (through the combination of asset contribution and cash injection) and GOSI owned 47% stake (through a wholly-owned subsidiary) in the JV – NMC Healthcare Saudi Arabia Company.

Saad Al-Fadhli, CEO of Hassana Investment Company, told Argaam that the events related to NMC Healthcare, listed on the London Stock Exchange, will not have any impact on the firm’s investment in the Kingdom and its share in the healthcare JV.

Meanwhile, Care’s board of directors appointed Ahmed Wazaa Alqahtani as a non-executive board member, effective from today, June 22.

Alqahtani holds a bachelor’s degree in Finance from King Fahd University of Petroleum and Minerals and has varied experience in investment and development.

The board also approved the resignation of non-executive board member, Abdullah Abdulaziz, citing personal reasons, effective from today, June 22.

The decisions are pending the general assembly’s approval, the company added.