With reference to the announcement made by Al Hammadi Company for Development and Investment on Tadawul website on 02/08/2018G with respect to its entry into preliminary discussions with the National Medical Care Company in relation to the consideration of the potential merger of the two companies, the Company announces that it has decided to discontinue and cease such discussions in light of the potential change in the ownership structure of the National Medical Care Company based on the announcement made by the National Medical Care Company on Tadawul website on 10/06/2018G in which it indicated that on 07/06/2018G, it received a letter from Hassana Investment Company, a subsidiary of the General Organization for Social Insurance (GOSI), responsible for the management of GOSI investments, stating that it, on its behalf and on behalf of GOSI, reached a non-binding agreement with NMC Health PLC to enter into a private sale transaction. This transaction has Hassana Investment Company and GOSI swapping their ownership in the National Medical Care Company, in return for shares in NMC Saudi Arabia Healthcare, a company owned by NMC Health PLC.
Therefore, Al Hammadi Company for Development and Investment is of the view that realizing the objectives of the potential merger between the companies would be incompatible with the objectives of the private sale transaction mentioned above and announced by the parties involved. Therefore, the Company has decided to discontinue the discussions of the potential merger between the two companies as of the date of this announcement.