One of Saudi German Health’s hospitals
Middle East Healthcare Co. (Saudi German Health) signed today, March 6, three contracts with Al-Sobh New Medical Co., the company said, in a statement to Tadawul. 
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Details of the three contracts are as follows:
First Contract: Contract for the trademark and brand name usage (Saudi German Hospital) with Al-Sobh New Medical Co., the owner of Sobhi Abdul Jalil Batterjee Hospital – a related party – located in Jeddah, Al Rehab District.
Contract Duration: 10 years, commencing from the date of contract signing and ending on March 5, 2035.
Financial Impact: This contract will have a positive impact on the company, as it will result in receiving stable revenue of 10% of the hospital’s monthly net profit over ten years, starting from the point where it achieves net profits. This will enhance cash flow and profitability positively without any risks to the company’s profits or assets, contributing to the improvement of the company’s financial stability.
Second Contract: The contract for the preparation, qualification, and supervision of the pre-opening phase with Al-Sobh New Medical Co., the owner of Sobhi Abdul Jalil Batterjee Hospital – related party – located in Jeddah, Al Rehab District.
Contract Value: SAR 3.14 million
Contract Duration: Six full Gregorian months, starting on March 6, 2025 and ending on Sept. 5, 2025.
Financial Impact: This contract will have a positive impact on the company, as it will result in revenue of SAR 3.14 million, which will boost its cash flow and help improve its financial performance.
Third Contract: The contract for the management and operation of Sobhi Abdul Jalil Batterjee Hospital – Related Party – owned by Al-Sobh New Medical Co., located in Jeddah, Al-Rehab District.
Contract Value:Middle East Healthcare Co. will receive 3% of Sobhi Abdul Jalil Batterjee Hospital’s net revenue after deducting rejections.
Contract Duration: Five years, starting from April 6, 2025 and ending on April 5, 2030.
Financial Impact: This contract will have a positive impact on the company, as it entails receiving 3% of the hospital’s net revenue after deducting rejections, which will improve cash flow and increase financial stability and profitability over five years.
The hospital’s building will consist of 70 outpatient clinics covering all medical specialties, in addition to a patient admission department, radiology, laboratories, and all other supporting departments. According to the initial license from the Ministry of Health, the hospital’s bed capacity is 200 beds, Saudi German Health said.
The company also noted that the related parties to the three contracts are the following: Sobhi Abdul Jalil Batterjee (Chairman), Makarem Sobhi Abdul Jalil Batterjee (Vice Chairman), Khaled Abdul Jalil Batterjee (Board Member) and Sultan Sobhi Abdul Jalil Batterjee (Board Member).
One of Saudi German Health’s hospitals
Middle East Healthcare Co. (Saudi German Health) signed today, March 6, three contracts with Al-Sobh New Medical Co., the company said, in a statement to Tadawul.
For more news on listed companies
Details of the three contracts are as follows:
First Contract: Contract for the trademark and brand name usage (Saudi German Hospital) with Al-Sobh New Medical Co., the owner of Sobhi Abdul Jalil Batterjee Hospital – a related party – located in Jeddah, Al Rehab District.
Contract Duration: 10 years, commencing from the date of contract signing and ending on March 5, 2035.
Financial Impact: This contract will have a positive impact on the company, as it will result in receiving stable revenue of 10% of the hospital’s monthly net profit over ten years, starting from the point where it achieves net profits. This will enhance cash flow and profitability positively without any risks to the company’s profits or assets, contributing to the improvement of the company’s financial stability.
Second Contract: The contract for the preparation, qualification, and supervision of the pre-opening phase with Al-Sobh New Medical Co., the owner of Sobhi Abdul Jalil Batterjee Hospital – related party – located in Jeddah, Al Rehab District.
Contract Value: SAR 3.14 million
Contract Duration: Six full Gregorian months, starting on March 6, 2025 and ending on Sept. 5, 2025.
Financial Impact: This contract will have a positive impact on the company, as it will result in revenue of SAR 3.14 million, which will boost its cash flow and help improve its financial performance.
Third Contract: The contract for the management and operation of Sobhi Abdul Jalil Batterjee Hospital – Related Party – owned by Al-Sobh New Medical Co., located in Jeddah, Al-Rehab District.
Contract Value:Middle East Healthcare Co. will receive 3% of Sobhi Abdul Jalil Batterjee Hospital’s net revenue after deducting rejections.
Contract Duration: Five years, starting from April 6, 2025 and ending on April 5, 2030.
Financial Impact: This contract will have a positive impact on the company, as it entails receiving 3% of the hospital’s net revenue after deducting rejections, which will improve cash flow and increase financial stability and profitability over five years.
The hospital’s building will consist of 70 outpatient clinics covering all medical specialties, in addition to a patient admission department, radiology, laboratories, and all other supporting departments. According to the initial license from the Ministry of Health, the hospital’s bed capacity is 200 beds, Saudi German Health said.
The company also noted that the related parties to the three contracts are the following: Sobhi Abdul Jalil Batterjee (Chairman), Makarem Sobhi Abdul Jalil Batterjee (Vice Chairman), Khaled Abdul Jalil Batterjee (Board Member) and Sultan Sobhi Abdul Jalil Batterjee (Board Member).
