The International Finance Corporation (IFC), a branch of the World Bank in charge of the private sector in developing countries, has announced a loan of $ 4.5 million to the pharmaceutical company, Goodlife Pharmacy Ltd to support its expansion project in East Africa including Kenya. The information was given through a press release of the company to its partners.
From the point of view of the IFC, the project development related scope aims to reduce the gap that exists in this area, as in many countries in Africa south of the Sahara, for access to effective and less expensive health services.
« Goodlife will expand rapidly in East Africa, opening pharmacies at convenient locations in retail centres, petrol stations, and near health clinics », said Tony McNally, CEO of Goodlife. “We aim to bring pharmaceutical best practices to East Africa, providing a range of products that will address the needs of different consumers and revolutionize the way of doing business in this market.”
“The pharmaceutical sector in East Africa is fragmented across many small businesses, which often results in unreliable quality and high prices for the consumer,” said Oumar Seydi, IFC Director for Eastern and Southern Africa. “By making affordable and reliable pharmaceuticals more available, Goodlife’s expansion will encourage other pharmacies to improve standards, transforming Kenya and East Africa’s pharmaceutical market.”
According to the statement, Kenya’s pharmaceutical industry, today valued at about $642 million, is projected to double by 2018. Goodlife’s recent acquisition of Kenya’s popular ‘Mimosa’ and ‘Dove’ pharmacies gives the company a solid platform to expand in the health and beauty sector. The founder of Mimosa pharmacies, Chris Getonga, is a shareholder in Goodlife. The Catalyst Fund, a private equity fund focused on East Africa, has also invested equity in Goodlife.
IFC is the world’s largest multilateral investor in private healthcare, with nearly $3 billion worth of health investments in more than 50 countries over the past decade. IFC’s investments in service providers, pharmaceuticals and medical technology are aimed at promoting greater access to affordable, high-quality healthcare, which is essential for social and economic development.
Goodlife receives funding of the multilateral institution as a real opportunity to boost its business.