Al Noor Hospitals, the Abu Dhabi healthcare firm which raised $342m from a London listing in June, said on Monday it had acquired the Gulf International Cancer Centre (GICC) in an initial deal worth $21.8m.
Al Noor, the largest private healthcare service provider in the UAE capital, said an additional one-off payment of $2.7m will be paid upfront for lease rent, and additional payments of up to $2.2m will be payable subject to performance up to the end of 2014.
Founded in 2004, the GICC is a leader in cancer treatment in Abu Dhabi, offering radiation therapy, oncology services, and PET/CT scan services.
Revenue for the year ended December 31 2012 was $10.4m. As of March 31, GICC had gross assets of $21.7m.
Dr Kassem Alom, CEO, Al Noor Hospitals Group Plc, said: "We are delighted that Gulf International Cancer Centre is joining Al Noor Hospitals Group, adding a new core competency to the range of healthcare services we already provide.
"This is exactly the kind of acquisition we promised investors at the time of Al Noor's flotation. Cancer care is forecast to increase at 10-14 percent annually in Abu Dhabi, and GICC has the capacity to serve a significant number of patients with their treatment needs."
Al Noor Hospitals said in August that total profit for the first half of the year fell 24.4 percent.
The healthcare provider reported a total profit of $24.8m for the first-half of the year compared with $32.8m for the same period last year.
Revenue for the first half of the year rose 10.9 percent to $179.5m aided by rising life-style related diseases in the Gulf region.
At the end of H1, Al Noor Hospitals said it had 227 operational beds and 504 physicians, more than any other private competitor in Abu Dhabi.For all the latest health tips & 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.
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