Swedfund and The Africa Health Fund through The Abraaj Group invests equity in a well established chain of private hospitals in Eastern Africa.
Swedfund, the Swedish state’s risk capital company, and The Africa Health Fund through The Abraaj Group, a global investor operating in global growth markets announced their investment of US$ 6.5 million in The Nairobi Women’s Hospital, a leading private health care provider for women and their families (men and children) in East Africa. This investment is the largest single foreign direct equity investment in private healthcare in Kenya this year.
In 2010 the then newly formed Africa Health Fund invested US$ 2.6 million in The Nairobi Women’s Hospital. Today’s equity injection showcases that it is worth investing in Africa’s healthcare as well as a sign of investor confidence in Kenya’s economy.
The objective of The objective of the Africa Health Fund is to increase access to affordable and quality health related goods and services for those at the bottom of the income pyramid. At the same time it hopes to provide investors with good long term financial returns.
Swedfund’s mandate is to support private enterprise in developing countries, mainly by making equity investments and loans to companies that have a profitable track record but that need capital and support in order to grow. In its investment process Swedfund puts a high emphasis on environmental, social and governance issues. Swedfund’s portfolio includes holdings in around 70 companies around the world.
This investment will enable The Nairobi Women’s Hospital to complete the financing of its modernization and expansion plan in East Africa. This will in turn increase the range of treatments and services offered to patients in the region.
Founded in 2001 The Nairobi Women’s Hospital (NWH) is a pioneer in women’s health (obstetrics and gynecological services) in East and Central Africa. For the past twelve years The NWH has provided quality and affordable healthcare to women and their families. Since its inception the NWH has grown from one branch, Hurlingham (2001); and now has three additional hospitals – Adams (2009), Ongata Rongai (2011) and Nakuru (2012); and two medical centres in Kitengela (2012) and Eastleigh (2012). The NWH Mombasa and Kisumu branches are work in progress and are part of the grand plan to expand further in the country and the Eastern African region by 2016; and subsequently into the rest of Africa. This is in line with its vision, “We are trusted with the healthcare of our women in Africa”. The NWH Board of Directors is chaired by Mrs. Eva Muraya, CEO Brand Strategy and Design.
The Nairobi Women’s Hospital focuses on providing in-patient, outpatient and specialized services for women including antenatal, gynecology, obstetrics, breast cancer detection and surgery. The NWH also offers services to the family. These include pediatrics, male medical surgical, dental, ENT, ICU, HDU, ambulance among others. The NWH charitable Trust, The Gender Violence Recovery Centre (GVRC) which is the first of its kind in Eastern and Central Africa, offers free medical and psychosocial support to survivors of intimate partner violence. The GVRC Board of Trustees is chaired by renowned Judge of the Supreme Court, Hon. Njoki Ndung’u.
In 2011 The NWH Medical Training College established the School of Nursing which offers diploma in the Kenya Registered Community Nurses (KRCN). This is in recognition that by 2016, there will be a shortage of 500,000 health workers in East Africa and the School seeks to bridge this gap and to ensure that healthcare providers are well skilled with the knowledge, passion and dedication.
In 2011 in partnership with GIZ The NWH installed the largest incinerator in Eastern and Central Africa with a capacity of 200kg/run. This culminated in the formation of the Healthcare Waste Management Company (HCWM) which seeks to improve the management of healthcare waste in Kenya. The incinerator which is based at The NWH Adams Branch not only serves the hospital branches but also other hospitals and clinics.
Swedfund was founded in 1979. Swedfund provides risk capital, expertise and financial support for investments in the emerging markets of Africa, Asia, Latin America and Eastern Europe. Together with industrial partners, Swedfund has invested in more than 220 of their subsidiaries during the 30 years of its existence. Swedfund’s unique knowledge and experience enables their partners to invest more successfully.
Swedfund, which is wholly owned by the Swedish government, reports to the Swedish Ministry for Foreign Affairs Department for Management and Methods in Development Collaboration (MFA-USTYR). Swedfund is defined as a bilateral Development Finance Institution (DFI) and belong to the European Development Finance Institutions (EDFI) network.
THE ABRAAJ GROUP
The Abraaj Group is a leading private equity investor operating in the growth markets of Africa, Latin America, Middle East, South Asia, South East Asia, Turkey and Central Asia.
Employing over 300 people, the Group has 25+ country offices spread across six regional hubs in Dubai, Istanbul, Mexico City, Mumbai, Nairobi and Singapore. Local presence across these markets provides the Group with unmatched expertise, know-how, proprietary transactional access and the ability to grow partner businesses across borders.
The Abraaj Group currently manages US$ 7.5 billion across 20+ sector and country-specific Funds, encompassing private equity (majority and significant minority investments with ticket sizes of between US$ 10 million to US$ 100 million) and real estate (primarily yield-generating) investments.
Funds managed by the Group have holdings in over 140 partner companies that collectively employ over 200,000 people and create sustainable value in sectors including manufacturing, education, retail, aviation, oil and gas, financial payments infrastructure, healthcare and agribusiness. The Group’s current partner companies include industry leaders such as Network International, the largest independent payment solutions provider in the Middle East and Africa, NEP Holding, with its Diamond brand and a market leader in the residential filtration market of Malaysia (with a growing presence in Singapore, Hong Kong, Taiwan and Southern China), Brookside Dairy, the leading dairy in East Africa, and Iasacorp, a long established family run women’s retail business in Peru.
The Group has set the standard for private equity investing in growth markets, having returned c. US$ 4.2 billion to investors from over 70 full and partial exits, providing industry leading returns across a range of companies that have emerged as today’s regional champions and tomorrow’s global challengers.
The Abraaj Group has an investor base of 300, including corporates, development finance institutions, financial institutions, pension funds, sovereign wealth funds, family offices, high net worth individuals and other institutional investors from Asia, Africa, the Americas, Europe and the Middle East.
The Abraaj Group is committed to the highest environmental, stakeholder engagement and corporate governance standards. The Group is a signatory to the United Nations-backed Principles for Responsible Investment and the United Nations Global Compact. The Group’s founder, Arif Naqvi, was appointed to the United Nations Global Compact Board by UN Secretary-General Ban Ki-moon in 2012. In 2013, Mr. Naqvi was awarded the Oslo Business for Peace Award, one of the highest forms of recognition given to global business leaders for fostering peace and stability through creating shared values between business and society.
Through its social investing program, The Abraaj Group has supported best in class organizations focused on entrepreneurship and job creation, healthcare, education and community engagement and thereby enabled a deep-rooted and sustainable impact on the economic landscape of the markets in which it operates.
This publication is issued by Abraaj Capital Limited (ACLD), a member of The Abraaj Group that is authorised and regulated by the Dubai Financial Services Authority (“DFSA”). Several Group members are regulated by a number of international regulatory authorities including the DFSA under whose rules ACLD has issued this publication.