Novacare Hospital Islamabad: BOP leads structuring of Rs17bn Islamic project finance facility

LAHORE: The Bank of Punjab (BOP) marked the financial close of a Rs 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 be affiliated with Imperial College Healthcare NHS Trust. With sponsors contributing Rs 11.5 billion in equity, the total project cost is approximately Rs 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 Rs 5.8 billion reflects its confidence in the project and its importance to Pakistan’s healthcare sector.

Speaking at the ceremony, 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.”

Copyright Business Recorder, 2026