Arada Acquires Majority Stake in Abu Dhabi's Reem Hospital as Part of AED2B Expansion Commitment

UAE master developer Arada has acquired a controlling stake of more than 80% in Reem Hospital, the Abu Dhabi-based healthcare provider, in a transaction that marks the company's formal entry into the healthcare sector. The transaction, announced May 7, 2026, is part of an AED2 billion commitment from Arada to fund the hospital's expansion across the United Arab Emirates.

The stake was purchased from a consortium that included Investcorp and its affiliates, along with other shareholders. The hospital's original founders — Zaid Al Siksek, who serves as Chairman, and Mansur Ali, a Board Member — will continue in the business, ensuring continuity of leadership and clinical direction.

About Reem Hospital

Established in 2020 on Abu Dhabi's Reem Island, Reem Hospital is described as the first post-acute rehabilitation and multi-specialty hospital in the UAE purpose-built to deliver end-to-end care throughout a patient's recovery journey. In five years of operation, the facility has grown to more than 800 employees, including 120 doctors spanning 42 specialty areas. The hospital treated more than 850,000 patients in 2025 alone, according to Arada.

The hospital has deployed AI-powered tracking and care programming systems, which the company says have set benchmarks for clinical efficiency and patient outcomes across the Gulf region.

Ahmed Alkhoshaibi, Group CEO of Arada, said: "This acquisition is fully in line with our overarching vision to create spaces that enable people to lead happier, healthier and more meaningful lives. Through this partnership, we will be able to bring best-in-class healthcare not only to the residents of our communities but to patients across the UAE and beyond. It also opens a powerful new revenue stream for Arada, while completing a critical piece of our integrated wellness vision — one that now spans every dimension of human health, from preventive care, fitness and lifestyle through to primary medicine, specialty treatment and long-term wellbeing."

Zaid Al Siksek, Chairman of Reem Hospital, said: "From the moment we began conversations with Arada, it was clear that this was the right partnership: a company that shares our values, as well as our relentless commitment to quality and delivery. Arada's vision, resources and unparalleled community platform give us everything we need to take Reem Hospital to the next level, and we could not be more energised about what lies ahead for our hospital, our people and our patients."

Expansion Roadmap: New Hospitals and Clinic Network

Arada's AED2 billion commitment will fund a multi-phase expansion of Reem Hospital's operations. The existing Reem Island facility is slated to double in capacity to 200 beds, with new specialty areas — including women's health and pediatrics — to be introduced. Three additional hospitals are planned across Abu Dhabi, Dubai, and Sharjah, while a network of Reem Clinics is to be established across the UAE, including within Arada's own master-planned communities.

The transaction is the latest in a series of moves by Arada as it expands across complementary sectors, including hospitality, industry, asset management, and wellness. The company has also recently entered new geographies, with entries into the United Kingdom and Australia.

Arada's Integrated Wellness Strategy

The healthcare acquisition is positioned by Arada as a cornerstone of its integrated wellness strategy. The company already operates as what it describes as the UAE's largest gym operator by revenue through its Formative fitness collective, and has launched residential and hospitality wellness brands Akala and Inaura. Arada has also announced plans to pioneer longevity clinic offerings.

Together, these assets are intended to deliver what Arada characterizes as a comprehensive proposition spanning from the gym floor and the spa to the clinic and the operating theatre — a positioning the company says no other master developer in the region currently offers.

Arada's Financial Position and Project Pipeline

Since its founding in 2017, Arada has built a global project pipeline valued at AED130 billion and has delivered 15,000 homes. In 2025, the company reported that the value of property sold tripled to more than AED17 billion. Total group revenue rose 170% to AED6.7 billion during 2025, while group earnings before interest, depreciation, and amortization increased 174% year-over-year to AED1.6 billion, according to the company.

The specific acquisition price for the more than 80% stake was not disclosed. The AED2 billion figure represents Arada's total commitment to Reem Hospital's expansion, not solely the purchase price of the stake.