Saudi doctor’s fortune soars on IPO
Sulaiman Al Habib’s stake in his namesake company is worth $2.3b after share sale
Dr Sulaiman Abdul Aziz Al Habib, a noted Saudi paediatrician and head of the Dr. Sulaiman Al Habib Medical Group, has become one of the world’s wealthiest doctors after the group he founded priced its initial public offering at the top of a marketed range.
Dr. Sulaiman Al Habib Medical Group is one of the biggest providers of health care in Saudi Arabia, operating hospitals, outpatient clinics, pharmacies and medical labs throughout the kingdom as well as in Dubai and Bahrain. The group employs more than 2,000 physicians. The IPO is the first in Saudi Arabia since state-owned oil company Saudi Aramco raised almost $30 billion in December.
Market worth
Dr Sulaiman Al Habib’s 49 per cent stake in his eponymous company is worth 8.5 billion riyals ($2.3 billion), according to the Bloomberg Billionaires Index, based on the announced selling price of 50 riyals a share. He plans to sell 17.4 million shares in the IPO, according to the prospectus. The company didn’t respond to a request for comment.
The firm is seeking to capitalise on the government’s plans to ramp up private-sector participation in health care and the country’s demographic trends.
Saudi Arabia’s population is disproportionately young and relatively unhealthy. More than a third of adults are obese and 18.5 per cent suffer from diabetes, according to World Health Organisation statistics.
Al Habib, 68, established the business in 1993 after serving as chief medical officer and head of paediatrics at two governmentowned hospitals in Riyadh. A graduate of King Saud University, he did his paediatrics fellowship at the Royal College of Physicians in the UK. He also invests in commercial real estate through a holding company, according to the prospectus.
Very few doctors rank among the world’s richest people. HCA Health care Inc co-founder and former US Air Force flight surgeon Thomas Frist is the wealthiest with a net worth of $13.1 billion. Biotech entrepreneur and physician Patrick Soon-Shiong has a $9.2 billion fortune.