Eos Capital, a Namibian private equity firm, has announced it will acquire a minority stake in Erongo Medical Group (EMG). EMG is a substantial player in the Namibian healthcare industry with Welwitschia Hospital in Walvis Bay as its flagship. EMG’s other subsidiaries, at varying ownership stakes, include Erongo Radiology, Ongwediva Medipark and Medixx Occupational Health Services.
Matthias Braune, EMG CEO, stated that EMG “is excited to have Eos Capital as a partner as we see them adding value by providing strategic and transaction advisory support to enable the group to grow organically and inorganically, thereby building a scaled regional healthcare company”.
Ekkehard Friedrich, Eos Capital Partner added that “What convinced us is how management and the hospital staff pulled together to handle the outbreak of the COVID19 virus. Even before the virus hit our shores, they had made contact with global experts, put special procedures in place to protect staff and patients alike, and set up separate ICUs and wards to curb the spread of the virus.
Due to this preparedness, the hospital still boasts a high recovery rate of COVID patients and records low COVID death rates. We look forward to building on this foundation and strengthening the healthcare sector in Namibia.”
The announcement comes after the company in partnership with Climate Fund Managers (CFM) in November announced a partnership between Climate Investor Two (managed by Climate Fund Managers), Kelp Blue and the Namibia Infrastructure Development and Investment Fund (NIDIF), managed by Eos Capital, for the commercial development of the world’s first large-scale kelp farm.
Investment of approximately N$990 million (USD 60 million) will be required over five years and will be funded by both international and local Namibian sources through CI2 and NIDIF, pending investment approvals.