Africa Health Ventures #4: Deals, News, and Opportunities
Your rundown of what's going on with health ventures in Africa
2024 is picking up steam! February was a packed month for healthcare ventures in Africa. Read on to learn more.
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Deals
🌐 Hewatele, a Kenyan medical oxygen producer, received a $20 million funding package to build a liquid oxygen manufacturing facility near Nairobi and expand its regional distribution, aiming to make medical oxygen more affordable and accessible in East Africa. The round included Finnfund, DFC, SEDF, UBS Optimus, and Grand Challenges Canada.
💼 Ilara Health secures $4.2 million in debt-equity funding to expand its diagnostic and pharmaceutical support to clinics as well as roll out a new service for employers to provide healthcare to uninsured workers. The equity round was led by DOB Equity with participation from the Philips Foundation, AAIC, Angaza, and others. Debt investment came from Alphamundi, Kiva Capital, and Boehringer Ingelheim.
🎉 Helpmum joined the fourth cohort of the African Visionary Fund (AVF). AVF has committed $2.7 million in funding to this cohort of 12 African-founded and led organizations from both the private and nonprofit sector. Helpmum is a Nigerian social enterprise using mobile technology to tackle maternal and infant mortality in rural, underserved areas.
🌍 Catalyst Fund invested in Medikea, a Tanzanian startup blending telemedicine with physical clinics to offer affordable healthcare, focusing on underserved communities impacted by climate change. This investment is notable because it demonstrates an appetite from investors in climate resilience for ventures addressing climate-related impacts on healthcare in Africa.
🏋️♀️ Verod Capital Management has invested an undisclosed amount in West Africa's leading fitness chain, i-Fitness, enhancing its presence in the region's wellness industry. Among other factors, Verod was attracted by the growing consumer emphasis on health and wellness and the rising population in urbanised Africa.
🏥 Africa Finance Corporation (AFC) committed up to $40 million to the African Medical Centre of Excellence (AMCE) in Abuja, Nigeria, a project in partnership with Africa Export-Import Bank and King’s College Hospital, London. The project aims to develop a 500-bed facility focused on oncology, cardiology, and hematology to reduce the need for medical tourism and fill crucial healthcare gaps in West Africa.
💰 Partech has finalized its second Africa fund, Partech Africa II, securing over $300 million to invest in startups across seed to Series C stages. This makes it the largest fund dedicated to African startups. Partech’s first Africa fund was one of the investors who participated in Reliance Health’s $40 million Series B round in 2022.
News
DeepEcho from Morocco was one of five startups to win the Xchange Challenge: Health AI for Good, run in partnership by MIT Solve and Cure. DeepEcho is using AI to improve the quality and effectiveness of ultrasound imaging.
The ARM Labs Lagos Techstars Accelerator concluded its Demo Day on February 22nd. The 12 startups in this cohort each received $120,000 in funding, including two healthtech ventures: Eight Medical connects users in need to emergency medical resources (such as hospitals, ambulances, personnel, information, and credit). PBR Life Sciences offers African healthcare market data and insights to global healthcare companies.
Pharmarun won second place at the Annual Africa Forward Pitch Competition hosted by Harvard Business Club, securing $15,000 in prize money. Pharmarun is an online pharmacy platform from Nigeria.
Roha Group, a US-based investment firm, is leading a $130m investment into the Roha Medical Campus, a hospital complex in Ethiopia envisioned to be a hub for medical tourism in the region.
Events
March 8-9 in Oxford: The Oxford Africa Business Forum focuses on the theme "Business as a Force for Nation Building" to explore how businesses contribute to national development.
March 13-14 in Cape Town: GEC Africa fosters entrepreneurial activity and the entrepreneurship ecosystems across the continent.
March 18-21 in Accra, Ghana: The CRS ICT4D Conference hosts a cross-sector discussion on digital development targeted at the development sector and aid actors.
April 9-12 in Oxford, UK: The Skoll World Forum is a high-profile international platform for advancing entrepreneurial approaches and solutions to the world’s most pressing problems, hosted by the Skoll Foundation.
April 16-17 in Wassenaar, Netherlands: The Invest in Africa Summit connects business professionals, policy makers, and investors from around the globe to foster economic growth, sustainable development, and innovative future investments in Africa.
May 29-31 in Oslo: Katapult Future Fest is a gathering of impact investors, tech entrepreneurs, and purpose-driven changemakers.
Opportunities for Startups
Due March 15: Save The Children Kenya is seeking partnerships with organizations active in Health, Nutrition, and WASH including private sector partners.
Due March 18: The MEST Africa Training Program offers a one-year, fully sponsored, graduate-level program aimed at fostering tech entrepreneurship, with the program concluding in an investor pitch for the chance to receive seed funding. The program is set to begin in August 2024 in Accra, Ghana.
Due March 31: The Chat for Impact: GenAI Accelerator 2024 is an 8-week program designed to support organizations in developing AI-powered chat solutions for education, healthcare, and economic mobility. The program offers grant funding up to $35,000 with additional funding for top performers. Participants will benefit from OpenAI API credits, technical support, and mentorship to enhance their AI chat services, culminating in a Demo Day presentation.
Due April 30: The French Facility for Global Environment (FFEM) has launched a call for "One Health" project proposals aimed at encouraging field-based actions that address the interconnected health of humans, animals, and ecosystems, with a focus on combating pollution. This initiative supports innovative pilot projects in DAC-listed countries.
Due June 17: The Africa Food Prize ($100K) recognizes extraordinary women, men, and institutions whose outstanding contributions are forging a new era of sustainable food security. The Africa Food Prize puts a spotlight on innovations that can be replicated across the continent to eliminate hunger and poverty.
Ongoing: Accelerate Africa is seeking startup applications for its 8-week program in a variety of areas including digital health. While the initial deadline has passed, they continue to accept applications on an ongoing basis. It is affiliated with Future Africa, the investment platform from the renowned Nigerian entrepreneur Iyinoluwa Aboyeji.
Ongoing: Fund for Innovation in Development Grant Program. The Fund for Innovation in Development (FID) is inviting innovators and researchers from around the world to apply for grant funding to more effectively or efficiently address poverty.
Ongoing: The Norrsken Accelerator and the Founders Factory Africa Gen F Entrepreneur-In-Residence Program continue to accept applications.
Insights
Salient Advisory published a 2023 recap of healthtech funding in Africa. Unlike the many other analyses out there, they included a review of grant financing. Key takeaway: women-led African healthtech companies raised 2000% more in 2023 compared to the previous year. Notable rounds included Kasha's $21 million.
In March we’ll be recording our next podcast about Healthcare Financing in Africa. As part of this we’ll be interviewing Ministries of Health, health insurance providers, employers, donors, and market intelligence providers. If there’s anyone you’d like to nominate for the show, just click ‘reply’ and let us know.
What We’re Reading
I’ve picked up two books recently which I can’t put down. Unlike some of the other trash I consume, they’re actually relevant to healthcare ventures anywhere in the world.
Outlive by Dr. Peter Attia: this “medical” book is not just about living longer but about getting the most out of the years we have. It’s a deep-dive into the long and complex journey of wellness, a topic highly under-served by traditional medicine.
Empire of Pain is a historical account of the opioid epidemic in America (OxyContin) and how it traces back to a single, highly “successful” pharma company (Purdue). It’s a real wake-up call about all the dangers associated with making profit in the healthcare industry.
Looking for more? What did we miss? Hit ‘reply’ to share any reactions, suggestions, deals, news, opportunities, or insights to include in our next newsletter. You can also:
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