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Company announces Sh1.5 billion health fund

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The fund targets enterprises that are raising at least Sh10.1 million a year in revenue. FILE PHOTO | NMG

American multinational pharmaceutical firm Johnson & Johnson has announced a Sh1.51 billion ($15 million) fund for social enterprises in health sector to expand their businesses.

The fund targets enterprises that are raising at least Sh10.1 million a year in revenue and are looking for a minimum of 50.5 million ($500, 000) in financing.

“The $15 million fund has been allocated from our foundation Johnson&Johnson is aimed at funding businesses in health that are looking to scale their models or their innovation,” said Anthony Gitau, the Johnson & Johnson Director for Global Community Impact sub-Saharan Africa.

He made the remarks at this year’s Sankalp Africa Summit that highlighted the slow progress by Africa towards realisation of the United Nations’ Sustainable Development Goals (SDGs).

Under the SDGs, improving healthcare service and access to education are cited as the key to social inclusion that can end poverty and inequality by 2030.

“This fund is meant to leverage the private sector and businesses that have come up with very good solutions to improve healthcare but are lacking funding,” said Mr Gitau.

Announcement of the fund comes barely months after Johnson & Johnson teamed up with private equity firms Inqo Investments of South Africa’s and London-based Sumerian Partners to buy out Naivasha-based South Lake Medical Centre in a deal valued at nearly Sh100 million.