Saudi Arabia's Ministry of Health (MOH) in co-operation with the National Centre for Privatisation (NCP) is expected to award the main construction contract for the expansion of Al Ansar Hospital Public-Private Partnership (PPP) Project, located in Madinah, in the fourth quarter of 2021. 

The project is listed in the ‘Initiatives in Advanced Stages’ section of NCP’s recently launched Privatisation Programme 2025 report. 

The bid submission deadline is 30 September 2021, a source told Zawya Projects, adding that the main contract is likely to be awarded by the end of the fourth quarter. 

The project aims to increase the capacity of Al Ansar Hospital, which is the primary provider of emergency services for Haj and Umrah pilgrims, from existing 90 beds to 244 beds, according to past statements posted on NCP’s website.  

The Request for Qualification (RFQ) tender for the design, construction, equipment procurement, operations (excluding clinical operations) and maintenance of the hospital was issued on 18 August 2020, according to the MOH website.  

On 28 January 2021, nine consortiums and companies were prequalified for the project, according to statements posted on PPPHealth4All.de and MOH websites. These were: 

  1. Concession Infrastructure Investments Manager Ltd, Almutlaq Real Estate Investment and Al Bawani Company  
  2. InterHealth Canada, Nesma Co and Arabian International Healthcare Holding  
  3. Alfanar and Steward Health Care International  
  4. International Power, Dubai branch (Engie), Consolidated Construction Group and Abdul Aziz Al Ajlan Sons for Commercial & Real Estate Investment  
  5. FCC Construcción and International Hospitals Construction  
  6. Tamasuk Holding Company and Alghanim International  
  7. Vision International Investment Company and Mouwasat Medical Services Company  
  8. Lamar Holding, Asyad Holding Group and Bouygues Batiment International  
  9. El Seif Commercial Investment Company  

The project is slated for completion by the third quarter 2025, the source said, adding that his estimate of the project cost is in the $270 to $300 million range.  

Mott MacDonald Group is the design and technical advisor; HSBC Saudi Arabia is the lead and financial advisor and Abuhimed Alsheikh Alhagbani Law Firm in association with Clifford Chance is the legal advisor for the project, according to the MOH website. 

A total of 86 companies had responded to the Expression of Interest (EOI) invite for the project issued on 12 March 2020, according to the NCP website. 

Alansar Hospital was the first transaction to be launched under the ‘Establishing and operating hospitals PPP initiative’ of the Privatisation Programme under Vision 2030. 

SDC Deal Number: 4002995158

(Reporting by Senthil Palanisamy; Editing by Anoop Menon) 

(anoop.menon@refinitiv.com) 

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© ZAWYA 2021