Font Size

- Aa +

Sun 4 Dec 2011 10:02 AM

Font Size

- Aa +

Kuwait’s Agility bids for stake in healthcare firm

Logistics firm bids $92m for slice of company set to offer expat insurance, build hospitals

Kuwait’s Agility bids for stake in healthcare firm
KHAC aims to build hospitals and clinics and offer private health insurance to expats

Kuwait's Agility has bid about KD25.6m
($92.44m) to acquire a strategic stake in Kuwait Health Assurance Co (KHAC), a
company currently under establishment in the Gulf Arab state, Agility said on

KHAC is a project envisioned in
Kuwait's five-year development plan and aims to privatise expatriate health
insurance and associated medical care. The project also includes plans to build
and operate three new hospitals and 15 health clinics in the Gulf state.

The company is being set up with a
capital of KD318m ($1.15bn) and the required equity to establish the firm is 30
percent, the logistics firm said in a statement to Kuwait bourse.

Strategic investors are required
to bid for 26 percent of the 30 percent equity capital contribution, the firm

Agility, which is facing US fraud
charges, said its bid excludes the optional premium of KD50,000. It is yet to
receive a reply for the bid, the company said.

The logistics firm posted a
42-percent fall in third-quarter net profit
on the back of lost defence and
government work.

Agility, which was the largest
supplier to the US Army in the Middle East during the war in Iraq, pleaded not
guilty in August
to charges it defrauded the US government over
multibillion-dollar supply contracts.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.