www.africanmedicalinvestments.com
AMI’s objective is to create the largest private hospital network in Africa, offering high quality in and out patient service. Its strategy is centred on capitalising on the continent’s demand for quality international standard healthcare, particularly from the emerging middle classes, overseas business investors, Governments and health insurers.
The Company currently has three operational private specialist hospitals in: Maputo, Mozambique; Dar es Salaam, Tanzania; and Harare, Zimbabwe in addition to a dedicated medical air evacuation service.
The Board of AMI believes that there is significant potential for rapid expansion across the continent and is targeting established private medical markets including Uganda, Ghana and Nigeria. Expansion may come in the form of investments in existing facilities, taking control of hospital management contracts or constructing new hospitals.
African Medical gains further momentum in medical insurance market with Interhealth deal
African Medical Investments (AIM: AMEI) has entered into an agreement with African insurer Interhealth Technologies Limited, whose members will now be directed towards African Medical’s portfolio of private boutique hospitals, trauma centres and Well Woman clinics, should they require medical attention.
The members of the Johannesburg-based Interhealth, which provides medical insurance and administers health plans for corporate clients and individual subscribers across the continent, will be directed to one of African Medical’s healthcare facilities if they fall ill in an area serviced by the company with all treatment subsequently billed back to Interhealth for full payment.
African Medical said the deal underscored the “considerable traction” it was gaining it its target audiences, particularly in the medical insurance market which it said would be increasingly important for the company.
“Preferred provider status by insurance companies is not readily or easily achieved, and I believe that our close relationship with many of the major medical insurance companies is testament to the quality of our facilities and our staff,” said Chief Executive of African Medical Vivek Solanki.
The company's current portfolio of healthcare facilities includes a boutique hospital, trauma centre and Well Woman clinic in Dar es Salaam, the Trauma Centre in Harare and Airport Medical & Vaccination Centres at Johannesburg and Cape Town International Airports.
Interhealth members will also have access to the company's new boutique hospital, trauma centre and Well Woman Clinic that are set to be opened in March 2010 in the city of Maputo, where the company said was a distinct need for international standard healthcare. The Maputo facility will replicate African Medical's current flagship medical centre in Dar es Salaam, which hosts a fully operational trauma centre with 30 beds including four Intensive Care Unit beds and two neonatal ICU incubators.
Maputo is the first of a number of planned private medical facilities being planned by African Medical. Following the investment by Harbinger Capital Partners LLC, the company is accelerating its expansion plans to roll out boutique hospitals, Well Woman Clinics and trauma centres across Africa, with the target of managing a total of ten healthcare facilities by 2012.
“The emerging African middle classes, the increasing expatriate community and the rise in foreign investment are just a few reasons why the provision of private healthcare is now a validated business model,” added Solanki.
African Medical Investments drew down an initial US$20.25 million after expenses a month ago in line with the late October agreement on a US$47 million equity line with an investment fund managed by New York based Harbinger. Further drawdowns will continue quarterly until the first quarter of 2013, by which time Harbinger will have subscribed for approximately US$47 million worth of ordinary shares in the company, taking its holding to 50 percent plus 1,000 shares.
African Medical is the parent company of VIP Healthcare Solutions Ltd which provides healthcare in niche areas, particularly to the expanding African middle classes and the expatriate, non-governmental organisations, diplomatic and tourist markets.
Shares in the company climbed 8% on the news.
