Healthcare Global Enterprises Ltd (HCG), a chain of Indian cancer treatment hospitals, has agreed to acquire a controlling stake in a Kenyan cancer care center.
According to a report by Deal Street Asia, HCG, which has its headquarters in Bangalore, India, will purchase a 93.66% stake in Cancer Care Kenya Ltd (CCK) for approximately $900,000 in cash. HCG will acquire the stake through its local subsidiary HealthCare Global (Kenya) Pvt Ltd.
United Nations (UN) Secretary-General Antonio Guterres (L) and Kenya’s President Uhuru Kenyatta leave after speaking at a press conference on March 08, 2017 at the State House in Nairobi. UN Secretary General Antonio Guterres urges the international community to take action to avert famine in Somalia where a biting drought has left three million people going hungry. / SIMON MAINA/AFP/Getty Images)
CDC, the development finance institution of the UK Government and MP Shah Hospital, a leading tertiary care hospital in Kenya, will also participate in the transaction.
CCK, which was founded by Kenyan entrepreneur N Adamali in 2010 is said to be the first private comprehensive cancer center in Kenya. The center treats more than 1,000 patient annually including patients from neighboring African countries. CCK’s team includes internationally trained radiation, medical and surgical oncologists, physicists, radiation technicians and oncology nurses.
The transaction, subject to approval by the Competition Authority of Kenya, is likely to be completed by the end of June, the company said.
PremjiInvest, the investment firm owned by Indian billionaire Azim Premji reportedly owns a stake in HCG. Last month, the firm sold a 2.54% stake in the company which is listed on the Bombay Stock Exchange.
Cancer Care Kenya is yet to respond to an email requesting for comment.