Pure Health to invest $500m in US hospitals giant Ardent

• Alpha Dhabi Holding’s healthcare subsidiary to buy a minority stake
• Ardent, an acute care specialist, has 26,000 employees in six US states
• Equity Group Investments, based in Chicago, is Ardent’s majority owner

Pure Health is buying a minority stake in US healthcare giant Ardent for a total investment of $500 million.

Pure, a subsidiary of Alpha Dhabi Holding that runs 28 hospitals and more than 100 clinics in the UAE, said it had entered into a definitive purchase agreement, subject to 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 across six states. It employs about 26,000 people. 

Pure Health said it would purchase the stake from Equity Group Investments (EGI), a Chicago-based private investment firm and Ardent’s majority owner.

The Abu Dhabi company will receive board observer rights but will 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.

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Farhan Malik, CEO of Pure Health, 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.” 

According to the US-UAE Business Council, the UAE is working with leading US hospitals to provide highly complex medical care to its citizens and to develop its own capacity to provide better healthcare locally. Under these arrangements, US medical providers train staff, manage hospitals and even build new institutions such as Cleveland Clinic Abu Dhabi. 

American insurance, pharmaceutical, medical device and IT companies also play an important role in the development of the UAE’s healthcare sector.

The UAE, meanwhile, has been increasingly involved in the US healthcare sector through medical training, research and philanthropic donations to hospitals such as Children’s National and Johns Hopkins.

In 2021, the US-UAE Business Council underscored the importance of healthcare to the bilateral relationship by naming Dr Tomislav Mihaljevic, CEO and president of Cleveland Clinic, co-chairman of its board.

Sam Zell, founder and chairman of EGI, said: “We look forward to developing a productive relationship with Pure Health as they continue to explore the various dynamics of the US healthcare system.”