Abu Dhabi PE firm Olive Rock picks up majority stake in two dental chains

 Abu Dhabi PE firm Olive Rock picks up majority stake in two dental chains

Abu Dhabi-based private equity firm Olive Rock Partners has acquired majority stakes in two dental chains—Dubai-based The Dental Studio and the Al Bustan Medical Centre in Abu Dhabi.

The PE firm said it acquired these stakes in partnership with their respective managing doctors. It didn’t disclose financial details of the transactions.

With the two transactions, Olive Rock Partners Fund I will have closed a total of three investments in its first year.

The twin deals come more than a year after Olive Rock joined hands with American private equity firm Cerberus Capital Management to acquire a stake in the UAE hospital chain United Eastern Medical Services LLC (UEMedical). This was the debut investment deal by Olive Rock.

The regional PE firm was founded last year by former Gulf Capital executives Muhannad Qubbaj and Abdullah Shahin. Olive Rock is raising its first fund. Last year, the Abu Dhabi Catalyst Partners became an anchor investor in Olive Rock. ADCP is a joint venture of Abu Dhabi sovereign wealth fund Mubadala and investment firm Falcon Edge.

TDS is one of the leading dental chains in Dubai, operating five clinics across Dubai. It was established in 2004. Al Bustan was established in 2008 and operates three clinics in catchment areas.

“Both platforms are leaders in their respective markets and are uniquely positioned for M&A expansion within complementary catchment areas within the United Arab Emirates,” said Shahin, founding partner of Olive Rock.

“To add support to the growth of the platforms, we have onboarded international expertise to the company boards and operating committees,” he added.

Qubbaj, Founding Partner of Olive Rock, said: “We have been interested in and mapping the dental sector for a few years, and have been proactively seeking to invest in leading teams managing promising platforms, within regionally fragmented and high growth markets. We are excited to have invested in two platforms that enjoy very sound and experienced leadership as well as strategic prospects.”

Aman Malik

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