| 18 April 2024, Thursday |

Abu Dhabi’s ADQ to acquire Egypt’s Amoun Pharmaceutical

ADQ, Abu Dhabi’s holding company, is planning to acquire Egypt’s Amoun Pharmaceutical Company as it continues to build its healthcare portfolio.

The investment in Amoun, which operates one of the largest pharmaceutical plants in Egypt, will strengthen ADQ’s long-term healthcare and pharma strategy to deliver a fully integrated value chain in the UAE, it said in a statement on Wednesday.

The transaction will be completed through a mandatory tender offer by ADQ for the total issued share capital of Amoun, including less than 1 per cent held by minority shareholders. The deal is subject to customary closing conditions, including regulatory approvals, it said without giving financial details.

“ADQ aims to develop an integrated healthcare and pharma value chain through strategic investments and new ventures both locally and internationally,” Fahad Al Qassim, executive director of healthcare and pharma at ADQ, said.

The investment in Amoun also solidifies ADQ’s commitment to the joint investment platform it established with the Sovereign Fund of Egypt.

“Together with SFE, we will work with Amoun’s leadership to expand on the company’s proven track record and market position in the pharma landscape,” Mr Al Qassim added.

Investments in the healthcare sector have picked up pace amid the Covid-19 pandemic, which provided a shot in the arm for pharmaceutical companies, long-term care centres and diagnostic services. The Covid-19 crisis has led to the rapid acceleration in efforts to find solutions in the areas of diagnostics and pharmaceuticals.

Set up in 2018, ADQ has a portfolio of companies spanning key sectors of Abu Dhabi’s non-oil economy, including utilities, tourism and hospitality, aviation, transportation, logistics, industrial, real estate, media, healthcare, agri-foods and financial services.

Its portfolio includes Abu Dhabi Power Corporation, Abu Dhabi Airports, Abu Dhabi Ports, Etihad Rail, healthcare provider Seha, insurer Daman, media companies Abu Dhabi Media and twofour54 and Abu Dhabi National Exhibitions Company, among others.

Earlier this month, ADQ signed an agreement to merge its healthcare entities Rafed and Union71 with Dubai-based Pure Health to create a major healthcare support services provider. As part of the agreement, ADQ is transferring its ownership of Rafed and Union71 to Pure Health for a stake in the merged entity.

In January, ADQ acquired Pharmax Pharmaceuticals, a UAE-based generic drugs manufacturer, and said it will take a minority stake in India’s Biocon Biologics.

“Together with our recent pharma manufacturing investments in the UAE and India, our investment in Amoun will further enhance our pharma strategy with the ultimate aim of ensuring access to critical medicines, lowering the cost of medication for the general population and advancing new and innovative treatments that help improve people’s lives,” Mr Al Qassim said.

Established in 1998, Amoun is a leading manufacturer, distributor and exporter of branded pharmaceutical and animal health products. It employs more than 2,500 people.

  • The National News