The private hospital in Tangier (Morocco) made headlines in October 2022 with its highly successful introduction to the Casablanca Stock Exchange. The Akdital group, owner of the largest network of private clinics in Morocco, raised 4.5 billion dirhams (approximately 415 million euros) in subscriptions, nearly four times the amount requested, marking the largest fundraising event the stock market had seen in fourteen years. More than 8,000 investors from 32 different nationalities, both individuals and institutions, rushed to invest in the company’s stock. The initial share price of 300 dirhams quickly soared to around 740 dirhams, a remarkable increase not commonly seen in the stock market. This performance solidified Akdital’s position as a standout in the industry.
Akdital’s spectacular entry into the stock market was the first of its kind in Morocco, as it was the first healthcare company to be listed. Founder and CEO Rochdi Talib outlined the company’s financial needs to investors, including plans for opening new clinics, upgrading equipment, and expanding services. Despite falling slightly short of the projected revenue target of 2.2 billion dirhams in 2023, with actual revenues reaching 1.9 billion dirhams, Akdital’s rapid revenue growth (500% increase over four years) since its establishment in 2017 has marked it as a symbol of the private healthcare investment boom in Morocco.
The proliferation of private clinics in Morocco is evident by the significant rise in numbers, from less than 100 in 1990 to over 400 currently, representing nearly 90% of the country’s primary healthcare facilities. These clinics account for almost 15,000 beds, more than a third of the national hospitalization capacity, with the majority operated for profit. While public hospital bed numbers have decreased by 1% between 2017 and 2022, private clinics have seen a 50% increase. Akdital, which started with one clinic in 2017, now operates twenty-two healthcare facilities and plans to open fifteen new ones by the end of 2024. This unprecedented growth is attributed to the 2015 law 131-13, championed by former Minister of Health, Houcine El Ouardi, aiming to attract private investment to the healthcare sector.
The surge in private healthcare investment in Morocco has created opportunities for various stakeholders, including investment funds, which now have access to the formerly closed-off market. The success of companies like Akdital in attracting both local and international investors demonstrates the potential for growth and development within the private healthcare sector. The investment in modernizing equipment, diversifying services, and expanding facilities not only benefits the companies themselves but also has a positive impact on overall healthcare delivery in the country. With the rapid expansion of private clinics, the healthcare landscape in Morocco is undergoing a transformation, offering improved services and resources to meet the growing demand for quality healthcare.
Despite challenges and critiques regarding the privatization of healthcare in Morocco, the surge in private investment has undeniably played a crucial role in enhancing healthcare infrastructure, services, and accessibility. The success story of Akdital and similar companies points to a promising future for healthcare in Morocco, with opportunities for innovation, growth, and improved patient outcomes. As the industry continues to evolve and expand, it is essential for stakeholders to work collaboratively towards a sustainable healthcare system that can meet the diverse needs of the population and ensure quality care for all. The dynamism and success of private healthcare investment in Morocco signal a bright future for the sector, with potential benefits for both the industry and the broader society.
