In continuation of the efforts of the Egyptian African Businessmen Association, the established activities and the distinguished relations between the Association and its strategic partners, in which some external parties are keen to cooperate with the Association and its members.
The Egyptian African Businessmen Association, in cooperation with the African Development Bank Group, is honored to invite members to attend
Pharmaceutical Investment Forum in Egypt and Africa
Organizers:
- The African Development Bank Group
- Egyptian African Businessmens Association – EABAÂ
Intoduction:
The African Development Bank (AfDB) aims to support the pharmaceutical and vaccine industry in Africa through an action plan targeting local capacity strengthening, logistical integration, industrial quality, research and development and vaccine production.
It is planned to invest up to $111 billion until 2030 in general, including $11 billion to develop the pharmaceutical industry, of which up to $3.1 billion is allocated to the African Development Bank until 2030 to support this vision and achieve the goals.
The African Development Bank adopts basic principles in determining its priorities in the field of the pharmaceutical industry, including supporting the private sector and strengthening the African infrastructure. It also depends on specific criteria to select projects and initiatives with a significant impact.
Forum activities:
- Round table: Discussion of the most important developments in the pharmaceutical industry in Egypt and ways to develop them
- Investment clinics: consultations and financial and technical support from the African Development Bank
Forum details:
- October 9-10, 2023
- Waldorf Astoria – Heliopolis
- To View the Agenda Please Click HEREÂ
Details AttachedÂ
Pharmaceutical Industry Investment clinics_F (1)
Pharmaceutical Industry Investment Forum_CN_F
Registration has been closedÂ
Forum Objective:
- Identify recent market trends in the Egyptian pharmaceutical industry and the steps taken to enhance its role in Africa under the 2030 plan.
- Presenting the bank’s plan to support the pharmaceutical industry and its available financial tools.
- Providing a platform for holding meetings between pharmaceutical companies and financiers to enhance cooperation in this vital sector.
Investment Clinics for Pharmaceutical Companies (Your Financial Advisor):
The Pharmaceutical Company Investment Clinics work in close cooperation with local partners such as the Egyptian African Business Association (EABA), the Pharmaceutical Export Council, Banque Misr, the National Bank of Egypt, financiers and other stakeholders.
To accelerate the development of investment projects in the field of pharmaceutical industries in Egypt. It relies on specific criteria to select sustainable projects ready for financing, and provides support and evaluation through project proposals to develop businesses innovatively and find companies and strategic regional success partners.
Steps to participate in investment clinics for pharmaceutical companies:
First: Pharmaceutical companies submit an online form. Invitations are sent to companies that meet all of the following preparedness criteria.
- Availability of audited financial statements for a period of 3 years.
- Approval to sign a non-disclosure agreement with the bank.
- Project size is greater than or equal to 30 million US dollars.
- The borrowing currency is US dollars or euros.
- Availability of a feasibility study or any preliminary market studies.
- Interest from development finance institutions, commercial banks or other key financial partners.
- Production line of products with high demand in major markets.
- Existing facilities with plans for expansion.
- A new project and investment in an African country.
- Determine the cost of technology transfer in the case of production and formulation.
- Accreditation from the World Health Organization in case of formulation.
Second: During the meeting with the investment clinic consultants, the company presents a presentation of the investment memorandum covering aspects such as:
- General information about the opportunity, a description of the project sector, location and component, an executive summary of the proposed transaction, the reason for the project, key information about the partner, and other factors.
- The legal structure of the project company, including ownership structures.
- Key Partners – Names, profiles and relevant track record/experience of co-owners.
- Proposed financing structure.
- Key points of attraction for the venture such as strength and experience of management, strong demand for the product, competitive advantage over other manufacturers, barriers to entry/first comer advantage (if relevant), strength of financial model, revenue sources, etc.
- Implementation plan with estimated timelines.
- Reducing risks: i) financing risks (equity and debt); ii) construction risks; iii) market risk; iv) Operational risks (operator); v) foreign currency risks; Risks of supplying and maintaining assets.
- Developmental impacts.
- contact information.
After the presentation and discussion, the investment clinic teams conduct constructive discussions to examine the project’s feasibility and bankability as well as financial participation from banks.
Opportunities and challenges of the pharmaceutical industry in Egypt:
The pharmaceutical industry in Egypt is witnessing a positive and sustainable transformation, and Egypt is considered one of four African countries that recently achieved a maturity level that allows the export of vaccines.
Current state of the industry:
- Egypt is the largest producer and consumer of medicines in the Middle East and North Africa region, with a market value estimated at approximately 35.6 billion Egyptian pounds.
- The industry relies heavily on imports, and most raw materials are imported.
- The industry is also looking to increase investment in research and development of pharmaceutical materials, and this will support its growth and competitiveness.
There are great opportunities to develop this sector despite challenges such as:
- Quality and level of production compared to European and American markets.
- Length of medication registration processes
- The division of Egyptian pharmaceutical companies
- Lack of market information
- Difficulty obtaining local raw materials
- Export restrictions.
There are opportunities to raise the level of economic complexity of Egypt through developing the pharmaceutical industry, such as:
- Egypt has the potential to increase exports through trade agreements with several countries and regions.
- There are positive improvements in the industry with the possibility of exporting vaccines.
- The industry faces challenges such as lengthy drug registration procedures and lack of market information.
Finally, there are opportunities to finance the pharmaceutical industry in Egypt, and the African Development Bank can play a role in providing the financing and technical support necessary to develop and enable a competitive and sustainable industry. Through a partnership approach, aligning co-financing with commercial banks and other players.