The Africa Health Fund, which is managed by private equity fund management company Aureos Capital, has invested USD4.5 million in Ghanaian hospital C&J Medicare.
The Africa Healthcare Fund was established in June 2009 by the International Finance Corporation (IFC), the Bill & Melinda Gates Foundation, the African Development Bank, and DEG , who jointly invested USD57 million. Other investors include a range of institutions such as a major European retail bank.
The fund’s objective is to help low income Africans to gain access to affordable, high quality health services through targeted investment in the provision of private healthcare. Its performance is measured by its positive impact on businesses serving low income groups as well as seeking to provide investors with good long-term financial returns.
Aureos has considerable expertise in the healthcare sector, and has invested in hospitals and medical supply companies across Latin America, Africa and Asia.
C&J Medicare is a leading healthcare provider in Accra, Ghana. The private healthcare sector in Ghana accounts for just under half (49%) of healthcare delivery, but most private health facilities are limited to general practice and gynaecological services. C&J Medicare has a significant impact on the health of low income communities in Accra.
C&J Medicare provides services for the employees and dependents of 100 companies, including on-site clinics for companies such as the Coca-Cola Bottling Company, Pioneer Food Cannery and coco-processing company Cargill Ghana.
In addition, C&J Medicare participates in a regular programme of free-of-charge health screening drives.
The Africa Health Fund’s investment will enable C&J Medicare to establish a new facility in a second location in Accra. The funding will also enable the acquisition of over USD2 million of medical equipment including new radiology equipment for MRI and CT scans, and will support the recruitment of new clinical and managerial staff.
The new C&J Medicare facility will deliver specialist care in psychiatric health, cancer screening and cardiology that are not currently available locally. In the longer term, the company intends expanding its services to additional cities in Ghana.
Each centre will have a dedicated Women Educational and Counselling Unit, as well as an HIV/AIDS unit, with a voluntary Counselling and Testing centre.
Jacob Kholi (pictured) Managing Partner, Aureos West Africa, says: “The private sector is crucial to healthcare provision in Africa, and C&J Medicare is already a playing a key part in ensuring that more low-income workers in Accra have access to high quality healthcare.”
“This investment will ensure that C&J Medicare can extend their successful model, initially within Accra, and eventually across Ghana. We believe the investment will deliver both strong returns to our investors, and put up-to-date treatments and diagnostic techniques within the reach of more and more ordinary Ghanaians.”
Dr Joyce Djabatey, Co-Founder of C&J Medicare, says: “We are really pleased to be working with an investor with such extensive experience of the medical sector. Aureos shares our commitment to both raising the quality of care available in Ghana and broadening access.”
“As well as helping us to establish new facilities with up-to-date diagnostic equipment, this investment will also help us to expand the support we give to the very poorest in our communities. These include free-of-charge health screening drives and the donation of essential drugs to rural communities.”