The Bank of Punjab (BOP) marked the financial close of a PKR 17 billion Syndicated Islamic Project Finance Facility for Novacare Hospitals (Private) Limited at a signing ceremony bringing together the project’s sponsors, management and participating financial institutions.
The facility will support the development of a 250-bed tertiary care hospital and a feeder clinic in Islamabad.Novacare Hospitals (Private) Limited is Pakistan’s first and only hospital to beaffiliated with Imperial College Healthcare NHS Trust. With sponsors contributing PKR 11.5 billion in equity, the total project cost is approximately PKR 28.5 billion.
The transaction represents Pakistan’s first greenfield hospital financed under a Syndicated Islamic Project Finance Facility, establishing a precedent for mobilising long-term financing for healthcare infrastructure.
BOP arranged and structured the facility as Intercreditor Agent and acted as Joint Mandated Lead Advisor & Arranger alongside United Bank Limited and Habib Bank Limited, with Pak China Investment Company Limited as Co-Arranger., PAIR Investment Company Limited and Pak Libya Holding Company Limited participated as syndicate financiers. BOP’s financing commitment of PKR 5.8 billion reflects its confidence in the project and its importance to Pakistan’s healthcare sector.
Speaking at the ceremony, Mr. Zafar Masud, President & CEO of The Bank of Punjab, said: “Healthcare touches every one of us. At some point, we have needed care for ourselves or someone we love, and we understand the difference that a good hospital and a skilled doctor can make. That is why Novacare has always meant more to us than a financing transaction. It is an investment in the care, dignity and wellbeing of the people this hospital will serve.”
Commenting on the financing, he added: “Bringing this project to financial close required conviction from the sponsors and close collaboration among all six participating institutions. Together, we have established a financing framework that we hope will make it easier for future healthcare projects in Pakistan to access long-term capital. If the next hospital finds its path to financing easier because of what we have achieved here, that will be a lasting contribution.”
Mr. Masud congratulated Novacare’s sponsors, Board and management, and acknowledged the contribution of the participating institutions, advisers, legal counsel and BOP’s Investment Banking and Project Finance teams.
“Financial close is an important milestone, but the real achievement will be the day the hospital opens its doors to patients. We look forward to supporting Novacare through construction and commissioning, and to seeing this vision become a place of healing and hope,” he said.
The transaction underscores BOP’s commitment to financing projects that strengthen essential infrastructure and deliver lasting economic and social benefits.
Lastly, Mr. Hans Kedzierski, CEO of Novacare Hospitals (Private) Limited,shared his vision and highlighted Novacare’s commitment to delivering international standards of healthcare, with patient care and empathy remaining at the forefront of Novacare’s mission.