South Africa’s pharmaceutical manufacturing crisis is growing as local producers lose government contracts and contend with rising costs. Stavros Nicolaou, chair of Pharmaceuticals Made in South Africa, says the Department of Health’s procurement policy is undermining the government’s localisation ambitions. He notes that officials award contracts to companies labelled as local suppliers. However, some companies import finished medicines rather than…
Tag: Healthcare Investment
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Pharmaceutical Localisation Talks Target Investment And Supply
Senior government officials and top leaders of the pharmaceutical industry have agreed to pursue closer cooperation. South Africa seeks to boost local medicine production and enhance supply security. On 18 August, the two parties met in Pretoria to talk about the immediate pressures facing the sector. They discussed the longer-term measures needed to support pharmaceutical manufacturing. Professor Nicholas Crisp, who…
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Cancer Heat Therapy: R57m Public Health Rollout
A R57 million funding drive could determine whether a South African cancer treatment is adopted in the public healthcare system. Cancer heat therapy has been shown to improve survival and reduce long-term costs. Dr Carrie Minnaar, a South African researcher specialising in oncologic hyperthermia, is leading plans to install six modulated electro-hyperthermia (mEHT) devices at three public hospitals over the…
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Local Pharmaceutical Manufacturing Needs Urgent Support
An industry group has warned that South Africa’s emphasis on securing the lowest possible prices for medicine is excluding local pharmaceutical companies from important state contracts. This issue highlights the challenges faced by local pharmaceutical manufacturing. In particular, they struggle to remain competitive in the market. Pharmaceuticals Made in South Africa (Pharmisa) told Parliament that the Health Department’s procurement policies…
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Rosebank Health Village Expands Growthpoint Portfolio
Growthpoint Healthcare Property Holdings (GHPH) has completed a R100 million healthcare development in Rosebank, Johannesburg. The new Rosebank Health Village expands the fund’s exposure to specialist medical real estate. It also marks the first step in a planned network of integrated healthcare facilities. GHPH developed the two-storey facility with healthcare provider Epione. The partners plan to establish more health villages…
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African Vaccine Manufacturing Expansion Set For Biovac Site
The South African vaccine producer Biovac has announced a major expansion of its Cape Town operations. This is a significant development in African vaccine manufacturing. This ambitious project receives significant backing from the European Investment Bank (EIB) Group and the International Finance Corporation (IFC). The new financing package will help Biovac develop end-to-end production capabilities. The primary focus will initially…
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UK Health Aid Transparency Under Increasing Scrutiny
British International Investment’s integrity is under fire following reports that millions of pounds of UK health aid have gone to corrupt and irresponsible healthcare companies. According to BII, this agency is responsible for investing funds to help “poor and marginalised sections of society.” However, recent reports indicate an obvious breakdown in UK health aid transparency. Investigators found that the agency…
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Aspen APAC Divestment Unlocks R26.5 Billion For GLP-1 Focus
Shares in Aspen Pharmacare soared by more than 20% at the close of December, following a major strategic pivot. Africa’s largest drugmaker announced a landmark agreement to sell its entire Asia-Pacific (APAC) operations – excluding China – to Australia’s BGH Capital for A$2.37 billion (around R26.5 billion). The Aspen APAC divestment comes after an unsolicited offer from the private equity…
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Ascendis to Delist from the Johannesburg Stock Exchange
Health group Ascendis Health plans a significant change. The company will delist from the Johannesburg Stock Exchange (JSE). It has made a conditional offer to its investors. Ascendis will repurchase shares from them. The market reacted very positively to this news. The company’s stock price surged by 13.4%. This move to delist Ascendis is a key part of its new strategy. The…
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Gates Foundation Announces $2.5bn Women’s Health Investment
The Bill & Melinda Gates Foundation has announced a landmark investment of $2.5 billion by 2030 to address critical gaps in women’s health. This field is one its founder, Bill Gates, says has been “neglected for too long.” The significant pledge represents a one-third increase in funding compared with the foundation’s spending on women’s and maternal health over the past…
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Investing in Hospitals: A Risk Worth Taking
For many investors, the notion of investing capital in the healthcare sector, particularly in hospitals, is counterintuitive. After all, a glance at the 10-year share price performance of South African giants Netcare and Life Healthcare paints a rather grim picture. Both stocks peaked roughly a decade ago, a period characterised by institutional investor pressure for global diversification and a desire…
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Private Hospitals Brace for Muted Growth Amid Economic Squeeze
LEADING analysts are cautious about the growth trajectory for South Africa’s private hospital sector. They cite stagnant medical aid membership figures, a declining healthcare workforce, and a persistently challenging macroeconomic environment as key headwinds. This week, Netcare and Life Healthcare, two of the nation’s largest private hospital groups, reported earnings growth for the six months ending in March. However, Netcare…