AfricInvest, a pan-African asset management platform that makes private equity, venture capital and private credit deals, has inked a debt transaction with Ruai Family Hospital Ltd (RFH Healthcare).
The alternative investment firm invested in RFH Healthcare through AfricInvest Private Credit (APC). This is the first time that AfricInvest has directly partnered with a hospital in Kenya.
RFH Healthcare started as an outpatient clinic in a one-bedroom apartment in 2011. The company—incorporated in 2012—now operates RFH Specialist Hospital, one of only 12 Level 5 facilities in Nairobi, and the only one in East of Nairobi. This hospital increased the scope of RFH’s services to include in-patient services starting with five beds.
Currently, RFH Healthcare operates a chain of eight healthcare facilities operating within Nairobi, Kiambu and Machakos counties. The hospital first made its name in maternal and child care. It has since expanded its offerings to include primary outpatient care, specialists’ consultation, surgical clinics, renal, home-based care, critical care, imaging, sub-specialised care, among others.
“RFH Healthcare is on an expansion phase that will see us set a lasting footprint on universal healthcare that is part of Kenya’s Big Four Agenda,” said RFH Healthcare CEO and founder Maxwel Okoth. Kenya’s Big Four Agenda includes focus on food security, affordable housing, universal healthcare, and manufacturing and job creation.
The healthcare company said it will use the new financing to expand the chain of hospitals to many other locations across the country, as well as to solidify the group’s working capital position.
The hospitals already serve at least 100,000 patients a year – ranging from premium clients to those who rely on National Hospital Insurance Fund (NHIF). NHIF is the country’s basic insurance plan.
“We are glad to participate in the continuous success of RFH, which offers affordable quality healthcare services with a great impact in Kenya,” said Samia Tnani, head of credit and origination at APC Private Credit.
This transaction was brought to APC by Asoko Insight’s digital engagement platform. RFH was advised in this transaction by NeoBridge.
APC is a non-bank financial institution providing tailor-made debt financing products to SMEs in Africa. It is a partnership between The AfricInvest Group, FMO, MicroVest Capital Management and Finnfund. It also has a long-term debt funding facility extended by US International Development Finance Corporation.