|AfroCentric Health Press Release|
AfroCentric Health welcomes Sanlam, WAD to its growing family
|Issued by: AfroCentric Health|
[Johannesburg, 9 March 2016]
AfroCentric Health (AHL), a wholly owned subsidiary of AfroCentric Investment Corporation (ACT), welcomes Sanlam and WAD Holdings to the AfroCentric family.
Partnership with Sanlam
Sanlam has acquired 28.7% of AfroCentric Health, Sanlam's largest transaction in South Africa since the acquisition of African Life in 2005. Through this transaction, AHL will further enhance Sanlam's health offering and reach within the South African market and neighbouring countries, and complement its retail offering.
Similarly, the transaction offers AHL access to Sanlam's extensive distribution network as well as a suite of financial products, while positioning the ACT Group for further growth. Effectively, the deal gives Sanlam a stake in Medscheme, a subsidiary brand of AfroCentric Health Group, and marks the birth of a strategic relationship between AfroCentric and Sanlam, focusing on the growth of AfroCentric Health's healthcare capacity and services.Acquisition of WAD
AfroCentric has also acquired the wholesale and courier pharmacy businesses belonging to WAD Holdings (WAD). The key holding, Pharmacy Direct, supplies chronic medication to more than 110 000 South Africans in both the public and private sectors. The transaction includes the purchase of the group's agency enterprise and a strategic minority interest in the generic and over-the-counter complementary medicine distribution business.
Transactions are a game-changer
The inclusion of Sanlam and WAD in AfroCentric positions the group extremely well for its retention, growth and diversification strategies and will have a positive impact on the AfroCentric Group.
Commitment to B-BBEE, sustainability of healthcare sector
The AfroCentric Health Group has also been rated as a Level 2 contributor to broad-based black economic empowerment (B-BBEE), under the new and stringent codes of 2014. This again confirms the group's commitment to transformation and redressing the imbalances of the past. Through its various socioeconomic and enterprise development initiatives, the group continues to demonstrate its commitment to the healthcare sector.
The many beneficiaries include Eluthandweni Maternity Clinic in Ekurhuleni, where the group has invested R600 000 to expand the capacity of this community health centre. In addition, as part of its commitment to youth education, the group invested a further R700 000 towards the Charlotte Maxeke Johannesburg Hospital School in support of children and youth that are being treated for life-threatening illnesses.
Through programmes and partnerships with organisations that support community healthcare improvement, AfroCentric Health continues to play its own role of addressing the current imbalances within the healthcare industry – this is in line with its vision of "Creating a World of Sustainable Healthcare".