Saudi Arabia’s major medical services provider, Dr Sulaiman Al Habib Medical Services Group, has approved the construction of a new maternity and paediatric hospital in the kingdom.

The new facility will be a branch of the existing Gharb Al-Takhassusi Hospital, and will be built on a land owned by the company in Riyadh, at a cost of 472 million Saudi riyals ($126 million).

Construction is scheduled to start in the third quarter of 2020 and is expected to be completed by the fourth quarter of 2023, the company said in a statement to the Saudi Stock Exchange (Tadawul).

The hospital will open in early 2024, subject to the approval by the kingdom’s Ministry of Health.

The company announced yesterday that it would distribute a four percent cash dividend to shareholders despite a quarter-on-quarter revenue decline.

Its initial public offering (IPO) in March 2020 was oversubscribed 83 times, raising $700 million.

(Writing by Imogen Lillywhite; editing by Cleofe Maceda)

(imogen.lillywhite@refinitiv.com)

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