Julphar sells Zahrat Al Rawdah Pharmacies to BinDawood Holding

UAE-based Julphar has sold its pharmacy business, Zahrat Al Rawdah Pharmacies, in Saudi Arabia to BinDawood Holding for SR444.1 million. Zahrat Al Rawdah, which is fully owned by Julphar, operates 173 retail outlets across the Kingdom.

This acquisition enables BinDawood Holding, known for its grocery and building materials stores, to become the first retailer in Saudi Arabia to integrate pharmacy services into its offering, enhancing customer access to healthcare products alongside everyday necessities, according to Ahmad BinDawood, CEO of BinDawood Holding.

Julphar has been focused on streamlining its operations and views the sale of Zahrat Al Rawdah as part of its strategy to dispose of non-core assets. The UAE pharmaceutical firm plans to reinvest a portion of the proceeds into its expanding pipeline of specialty pharmaceutical products and is exploring various development and manufacturing opportunities in Saudi Arabia.

Dr. Basel Ziyadeh, CEO of Julphar, stated, “We remain committed to enhancing our core manufacturing and commercialization efforts in Saudi Arabia, where we identify significant growth opportunities that add strategic value for our shareholders. The proceeds from the Zahrat Al Rawdah sale will strengthen our balance sheet and expedite our strategic initiatives.”

Julphar has undergone considerable transitions, including management changes, as it seeks to achieve profitability. As of June, the company reported accumulated losses of Dh348.1 million but continues to focus on restructuring its product portfolio and introducing new offerings in therapeutic areas across various markets. The recent sale is expected to significantly benefit Julphar’s financial standing.