GFH acquires majority stake in healthcare real estate asset manager, Big Sky
The acquisition will help GFH further its presence in the US and builds on its thematic focus on attractive and defensive markets
Bahrain-based GFH Financial Group has acquired a majority stake in Big Sky Asset Management, a US-based real estate asset manager focused on the healthcare sector.
The firm said that the acquisition of a majority stake helps further its presence in the US and builds on its thematic focus on attractive and defensive markets. The group holds interests in key sectors such as real estate and asset management.
The transaction follows an earlier acquisition in May 2022, of SQ Asset Management, another US-based firm that specialises in student housing in prime US states and cities. With the stake in Big Sky, GFH said that it has established a strong foothold in the growing, defensive healthcare market, making the group one of the early pioneers in the region to penetrate this segment, it stated.
Big Sky brings more than 20 years of experience in investing and managing healthcare assets in the US, with more than US $2bn in cumulative transaction value and 130 in medical facilities.
In early February 2020, GFH Capital acquired a diversified US hospitality portfolio worth $250mn.
“We are looking forward to this partnership with an established and well positioned expert such as Big Sky, and believe it gives GFH a unique approach to the market by bringing together our regional expertise with Big Sky’s extensive know-how in the US healthcare market,” said Nael Mustafa, Co-Chief Investment Officer at GFH.
“This partnership will further strengthen our real estate offering and allow us to introduce unique and attractive products to our investors,” he added, pointing out that Big Sky has strong capabilities in sourcing, acquiring, and managing healthcare assets with a specialised focus on medical clinics and life sciences real estate.
Big Sky seeks premier medical facilities where it can directly add value through active and enhanced asset management, he explained.
“This acquisition is instrumental to the future growth of GFH by giving us strong management teams that are able to execute our growth strategy and give us a local presence, which in today’s market is a key ingredient to success,” stated Mustafa.
In early March 2020, GFH Properties signed deals with international brands for the Harbour Row project.
“Big Sky’s strong track record further complements our strong performance in the US markets and boosts our market know how,” he noted.
Led by Jason L Signor, Founder and CEO, Big Sky has an extensive track record of investing in the healthcare real estate sector and is supported by a strong management team across the US. Signor has successfully grown a predecessor real estate company to become of the largest healthcare real estate platforms in the US. Following the transaction, the company will be owned by GFH alongside the founders.
“Having GFH as a strong partner will enable Big Sky to further offer unique investment opportunities to investors in the US and the GCC. Big Sky is well positioned to grow its AUM and become one of the largest healthcare real estate investors by combining our market capabilities with GFH’s strong global access,” remarked Signor.
Mustafa highlighted that GFH would be keen to collaborate with Signor and his team to grow the platform and find unique ways of generating value across the spectrum of healthcare.
In mid April 2022, GFH’s UK subsidiary concluded an off-market sale of Tesco Distribution Centre for $135mn.
“The platform will be instrumental in providing institutional quality real estate to the top hospital groups and doctors in the US. We believe the healthcare real estate sector through Big Sky will present attractive returns for our investors. GFH has completed acquisitions of two medical clinics portfolios through a joint venture with Big Sky that is valued in excess of $800mn as part of our investment strategy of acquiring portfolios of stabilised assets supported by strong market fundamentals and operating growth,” he stated.
“We are strong believers in the healthcare market, which is positioned for steady, resilient growth following the shift in outpatient services and subsequent demand for quality medical clinics assets,” Mustafa concluded.
