Newly formed UK-based TLG Capital is making its first investment in a joint venture between Quality Chemicals Uganda and Cipla India.
Newly formed UK-based TLG Capital is making its first investment in a joint venture between Quality Chemicals Uganda and Cipla India.
Quality Chemicals joined forces with Cipla to launch QCIL – the first pharmaceutical company manufacturing antiretroviral and anti-malarial drugs in Africa. With the full support of the Ugandan Government, QCIL is set to produce six million tablets per day in the near future.
QCIL has constructed a GBP20m plant in Kampala, Uganda, which has been licensed by the National Drug Authority. The company has also been vetted by the International Committee of the Red Cross and pre-qualified by Drugs for Neglected Diseases initiative.
TLG Capital was set up to invest and work with companies in frontier markets that have often evaded the radar of international based dedicated Africa funds.
Zain Latif, principal of TLG Capital, says: ‘For us, QCIL remains one of the most promising opportunities in the East African region. The production of key ARV and ACT drugs combined with the strength of management has convinced us of the long-term potential of the plant. From the beginning, we share the same goals as management and we are closely working together to realise the great vision we have for the company.’
Frederick Mutebi Kitaka, chief financial officer of QCIL, says: ‘This project will result in significant positive changes in our country from disease control to price reduction in ARVs and anti-malarial medication. As a joint venture, it will gain from the manufacturing expertise of Cipla and the pharmaceutical management and distribution expertise of QCL. We have received a great amount of support from the Government at every step and we can proudly say that we have found an African solution to an African problem.’
