Monthly Archives: February 2021

Árgentil Capital Partners Invests in Nigeria’s healthcare industry

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Árgentil Capital Management Limited, a boutique investment banking company, confirmed its equity investment in Sygen Pharmaceuticals Limited, which, along with other co-investors, was structured through the investment vehicle of the backers, Market Growth Partners.

Àrgentil has engaged in a management team-based transaction with a clear track record of over 155 years of directing and controlling FMCG businesses’ activities in Nigeria and other developing markets.

Companies such as Sygen, which can offer quality, inexpensive medicines to a wide domestic market, continue to have substantial growth opportunities in the healthcare and consumer sectors.

Àrgentil is actively invested in small and medium-sized companies through the Àrgentil Principal Investment Portfolio II (APIP II), which has so far completed five investments.

Investments from APIP II have won award recognition, including the Private Equity Africa 2019 Deal of the Year (Small Cap) award, and many of our investors have had a major positive impact on the existing COVID-19 climate.

Àrgentil is now widening its investment focus to include core West African countries through the US$95m Àrgentil SME Investment Fund (ASIF).

ASIF will invest in core development sectors such as Agriculture, Consumer Affairs, Technology and Energy. The initial national priority of ASIF will include Ghana, Liberia, Nigeria and Sierra Leone.

Àrgentil also makes direct contributions from its balance sheet to fund management teams or to sponsor emerging companies looking to develop networks that can expand over time to adopt key sectors’ development strategies.

Sygen is an indigenous pharmaceutical business that was founded in 2019 to purchase Nigerian German Chemicals’ main operating properties (NGC). NGC remained a well-known brand in Nigeria prior to its takeover, with operations lasting over 50 years.

Sygen manufactures and distributes prescription products under the brand name NGC targeting the segments of Analgesic, Anti-Diabetics, Antifungal, Anti-spasmodic, Cough narcotics and Hematinic medications.

The business also supplies drinks and bottled water. The business runs a warehouse in the state of Ogun, southwestern Nigeria, and eight depots nationwide.

The mission of Sygen is to create a leading pharmaceutical organisation based on the manufacture and delivery of inexpensive, high-quality medicines that are easily available and readily accessible to the economy’s middle and lower-income community.

CDC announces $100m investment in the Egyptian Alfa Medical Group

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CDC Group, the UK development finance institution, has announced a $100 million minority equity stake in Alfa Medical Group (AMG) alongside the healthcare investor Africa Network Capital, Simon Rowlands’ family office.

“For 25 years, the Alfa Medical Company has played a crucial role in changing the lives of millions of Egyptians by ensuring access to affordable healthcare. Its labels are known in the medical industry for offering high-quality diagnostics and care using state-of-the-art technology,” said Sherine Shohdy, Coverage Director, CDC, Egypt.

“This investment shows the devotion of CDC to collaborating with leading Egyptian firms, creating much-needed patient capital that can only be offered through our model. With over 20 years of experience investing here in Egypt, this year we remain optimistic in working with more local businesses.”

The investment would allow AMG to enhance its medical services efficiency, expand patient access to medical care and extend its hospital presence, including the new Alfa Medical City. The investment will also promote the expansion of AMG’s laboratory sector into undeserved regions in Egypt in particular, as well as the development of Alfa Scan Radiology Centers.

The transaction would also fund the creation of the Alfa Academy, a training academy for AMG employees and third-party healthcare professionals. The Academy will offer instruction to healthcare practitioners, grow permanent, high-quality talent across the industry and enhance patient care. This investment would help to expand the number of hospital beds offering quality healthcare facilities, complementing the Egyptian Government’s efforts to fulfil its vision for Egypt in 2030.

This investment will lead to SDG 3: Ensure safe lives and well-being for all, build employment as defined in SDG 8.5: Produce complete and sustainable jobs, and have better skills preparation as defined in SDG 4.4: Raise the number of people with suitable skills.

Dr Adel Talaat, Chairman and CEO of Alfa Medical Group, said: “As shareholders of Alfa Medical Company, we are proud to welcome CDC, one of the leading financial institutions for growth finance. For our company, the investment marks a significant milestone and will help us to extend our business and accelerate our progress. It also demonstrates the trust that foreign investors have in the Egyptian economy and health care sector.”

“CDC is delighted to work with Dr. Adel Talaat and his team to continue the country’s growth of the community and increase access to healthcare. This contribution is a core component of Egypt’s CDC plan and we look forward to helping more companies in the healthcare, education and other consumer sectors,” said Leandro Cuccioli, Head of Health and Consumer Businesses, CDC.

Sir Geoffrey Adams, British Ambassador to Egypt, commented “A wonderful example of the strength of the UK-Egypt trade and investment relationship is CDC’s $100 million investment in Alfa Medical Group, CDC’s highest ever equity investment in Egypt. At a time of unparalleled difficulties, the agreement will promote healthcare in Egypt, improving access to medical services across Egypt for those in need.”