EGYPT – The Sovereign Fund of Egypt (TSFE), private equity firm B Investments, and pharmaceutical supply chain El-Ezaby Pharmacies have joined forces to establish a new company, EZ International.

This deal comes as TSFE and Etisalat Egypt teamed up to launch a new fintech company, Erada Microfinance, to enable micro and small enterprises to access a wide range of financial services.

The public-private partnership will offer independent pharmacies a new business model that supports their growth and business development to bolster the pharmaceutical sector in Egypt.

The collaboration is anticipated to unlock whole new areas of growth as per the highest level of commitment to global environmental, social, competitiveness, and governance standards.

The joint statement: “Through this partnership, we will work towards partnering with independent pharmacies to leverage their growth potential and improve their financial position.”

According to the official statement, EZ International is mandated to offer logistics and management services for pharmacies, as well as pharmaceuticals distribution and trade services.

This new joint venture will leverage the collective expertise of TSFE Healthcare & Pharma Subfund, B Investments, and El-Ezaby Pharmacies to advance Egypt’s healthcare and pharmaceuticals sectors.

EZ International will leverage the participating partner’s unique set of assets and deep experience to expand in both local and regional markets.

Furthermore, it comes as the Egyptian pharmaceutical market size is expected to grow at a CAGR of more than 7% during 2022 – 2027, this market was valued at US$3.0 billion in 2022.

The Cairo-based firm will act as a dependable one-stop shop for the country’s pharmaceutical companies in concerted efforts to grow their businesses while ensuring customer satisfaction.

EZ International is expected to deploy the latest digital technology, ensure the highest level of operational efficiency for pharma companies, and offer unparalleled quality for their customers.

Commenting on the latest partnership, Dr. Hala El-Said, Minister of Planning and Economic Development and Chairperson of TSFE, stated: “This new venture is in lockstep with Egypt’s Vision 2030, underscoring the country’s unwavering commitment to sustainable development goals.”

Moreover, TSFE and B Investments are exploring a two-year capital increase plan to help EZ International to achieve operational success by providing business-to-business (B2B) services in the Egyptian pharmaceutical sector.

The Sovereign Fund of Egypt collaborates with top experts and specialists to ensure that its projects are successful,” underscored Dr. Hala El-Said.

The newly established company will use the fresh funds to roll out high-quality services to more than 500 pharmacies countrywide, starting with El-Ezaby’s more than 250 branches.

This news comes as El Ezaby Pharmacies, Magrabi, and Jamjoom Pharma were recognized as the top 7 Best Places to Work in Egypt for 2022.

The strategic alliance aligns with El Ezaby Pharmacies’ strategy to expand into Gulf Cooperation Council (GCC) countries and the wider African region by 2023.

El-Ezaby Pharmacies, Egypt’s uncontested leading provider of health and personal care products Pharmacies, plans to launch additional branches across several governorates by the end of 2023.

In addition, El-Ezaby’s extensive network of existing pharmacies, deep technical expertise, and proven track record will guarantee that EZ International’s services are in line with the highest industry standards.

This venture will play a critical role in developing the manufacturing capabilities and trade services of the pharmaceutical sector, which is a key component of Egypt’s sustainable economic growth.

With the combined business operational support, EZ International is anticipated to offer top-notch solutions for the pharmaceutical sector’s most pressing needs and generate financial returns for future generations.

The Sovereign Fund of Egypt creates real and positive social impact through distinctive services at competitive costs, which contributes to achieving the state’s goals and the state’s ownership policy document,” asserted El-Said.

Moreover, B Investments will continue using its strong financial and administrative expertise to support and develop companies in Egypt’s promising healthcare and pharmaceuticals sectors.

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