On Wednesday 28th of April, Misr Capital Investments and Elevate Healthcare launched the largest private equity healthcare platform in Egypt and Africa “Nile Misr Healthcare” at a total value of $ 380 million.
The newly launched platform “Nile Misr Healthcare”, is structured on the strong investment and medical expertise of the two partners, who will actively manage the fund strategy and acquire highly selective targets with strong potential across healthcare verticals spanning hospitals, diagnostic facilities, pharmaceuticals, medical education, and digital medical services among others in Egypt and Sub-Saharan Africa.
Capitalizing on the first secured commitment from Banque Misr, the platform managers are looking to raise USD 150 million before the first closing in Q1 2022, after seeding initial investments Banque Misr’s cash commitment and Elevate Private Equity’s in-kind contribution to the platform. Dr. Tarek Moharram, a healthcare veteran with over 14 years of experience in managing, developing, and growing medical entities in Egypt, will take the helm as chief executive officer of the platform.
The platform is expected to enter its first sale and purchase agreement (SPA) within weeks upon the completion of all necessary approvals. Ernst & Young Egypt acted as the financial and tax advisor and Alliance Law Firm and Al Kamel Law Firm as the legal advisors to Misr Capital. Leverage and Dr. Khaled
Moussa acted as the financial advisor and legal counsel to Elevate Private Equity, respectively.
What Stakeholders Said
Akef El Maghraby, Chairman of Misr Capital and Vice Chairman at Banque Misr stated, “Responsible investments come at the top of Misr Capital’s priorities, especially in sectors like healthcare that contribute to the society in which we operate.”
“Investing in healthcare not only adds positive, real value to the society, but also comes in line with SDG 3 of the UN’s sustainable development goals and the United Nation’s Principles of Responsible Investments,” He added.
Khalil Elbawab CEO of Misr Capital commented on the opportunities in the domestic market “Egypt has a growing middle class, and the country is witnessing a continuous increase in private medical insurance penetration. Furthermore, the government’s ambitious goal to cover all Egyptians under a universal health insurance program over the next fifteen years in partnership with the WHO makes this strategic move come at a very opportune time for Misr Capital as we embark on our journey to enter the healthcare investments space.”
“With a population of over 1 billion citizens and the IMF projecting GDP growth of approximately 4% in 2022 in Sub-Saharan Africa, the continent provides a multitude of opportunities for private healthcare investments that we are keen on conquering through this partnership,” Added Khalil El Bawab.
Dr. Tarek Moharram, the CEO of Elevate Healthcare commented “This partnership leverages the technical and strategic expertise of Elevate Private Equity with Misr Capital’s renowned financial and investment track record; effectually forming a platform that will actively pursue M&A transactions in the highly-fragmented healthcare spaces across our targeted jurisdictions. Our long-term strategy is to establish larger, consolidated entities that provide comprehensive, world-class healthcare to larger populations across Egypt and Sub-Saharan Africa, in addition to creating a positive impact on the wider economies while delivering superior returns to investors,”.
“Most importantly, the platform is built on a comprehensive skill-set that brings to the table veteran healthcare experts, seasoned finance professionals, and a strong line-up of experienced investors backed by Banque Misr, one of the oldest and most renowned banks in Africa,” He added.
About Elevate and Nile Scan & Labs Co.
Elevate Private Equity was established by Dr. Tarek Moharram, partner and managing director of Nile Scan & Labs Co (Established 1995), considered one of the largest and fastest-growing diagnostics networks in Egypt and MENA.
Since Elevate assumed the strategic management of Nile Scan & Labs, the group managed to take the largest market share of oncology diagnostics in Africa and establishing the first consolidated Cardiac catheterization platform and intensive care platform, in addition to securing an academic partnership with London’s Imperial College, one of the most renowned universities across the world.
About Misr Capital
The investment arm of Banque Misr, Misr Capital S.A.E. stands today as a market leader in multiple investment disciplines in Egypt – being the largest asset management firm with an AUM base exceeding EGP 30 bn, spanning equity, balanced, Sharia-compliant, capital-protected, fixed income, and money market funds. Misr Capital also launched fixed-income brokerage services with a core concentration in Egypt in addition to serving other markets in The Middle East & North Africa.
Misr Capital’s solid track record in direct investments has accumulated total divestments accounting for almost EGP 13 bn spanning commercial banking, Fintech, financial leasing, real estate, and petrochemicals.
Today, Misr Capital stands as Egypt’s leading DCM advisor – having successfully concluded advisory on Egypt’s largest-ever securitization bonds offering and the market’s largest-ever Sukuk issuance.