A definitive acquisition agreement has been signed by Pure Health, a subsidiary of Alpha Dhabi Holding, to purchase a $500 million stake in Ardent Health Services (Ardent), a Nashville, Tennessee-based US healthcare provider.
The investment is subject to customary closing conditions and will be finalised after receipt of all necessary US regulatory approvals.
Ardent is the fourth largest privately held acute care hospital operator in the US, with 30 hospitals and more than 200 sites of care across six states, and approximately 26,000 employees.
Pure Health would achieve a minority equity investment by purchasing an interest in Ardent from Equity Group Investments (EGI), a Chicago-based private investment firm and majority owner of Ardent.
As part of its investment, Pure Health would receive board observer rights, but would not have a seat on Ardent’s board of directors. The investment does not include plans for either the expansion of Ardent’s physical footprint or collaboration between Ardent and Pure Health in the delivery of care.
Equity Group Investments hosted a signing ceremony, which included Farhan Malik, CEO of Pure Health, Sam Zell, founder and chairman of EGI, and Marty Bonick, president and chief executive officer of Ardent.
“One of EGI’s strengths is partnering with like-minded individuals with the experience and passion for how we approach investment opportunities. We look forward to developing a productive relationship with Pure Health as they continue to explore the various dynamics of the U.S. healthcare system,” said Sam Zell.
Commenting on the major investment announcement, Farhan Malik said, “This landmark investment agreement marks a quantum leap for the UAE and the global healthcare industry.”
“This is an exciting opportunity for Pure Health, as we continue to build relationships with leading US healthcare providers to leverage the highest standards and best clinical practices to provide an unrivalled healthcare experience for patients in the UAE,” said Malik.
To create Pure Health, the leading healthcare provider in the UAE, ADQ of Abu Dhabi entered into an agreement in January to merge a number of businesses.
