A Nigerian Payments Company Eyeing A USD 1.5 Bn Post-IPO Valuation Has Acquired A Healthcare Firm

By  |  November 4, 2019

Interswitch Limited, a leading technology-driven company focused on the digitization of payments in Nigeria and other African countries, has announced the acquisition of eClat Healthcare Limited; a Nigeria-based health technology company that aims to improve healthcare delivery in Africa.

Both parties put pen to paper on the deal on September 30, with Interswitch acquiring a 60 percent stake in eClat through the purchase of shares from current shareholders and subscription to new shares issued by the company.

eClat Healthcare Limited was founded in 2012 and the company specializes in assisting healthcare service providers in planning, designing and operating their unique practices through the deployment of its customized healthcare technology platform, designed specifically for the healthcare environment in Africa.

Interswitch’s strategic investment in healthcare technology aims to address the challenges of Nigeria’s healthcare system by modernising the healthcare sector in Nigeria and eventually in Africa through its innovative products and services.

The combined product offerings of Interswitch and eClat are expected to, among other things, enable operators in the healthcare sector to develop new capabilities, improve the efficiency of their core operations and facilitate seamless payments.

Before the acquisition, eClat’s platform had become a leading Electronic Health Record (EHR) platform used in over 250 public and private healthcare facilities in Nigeria.

Due to the growing adoption of Interswitch’s healthcare product offerings by the operators, Interswitch’s healthcare technology platform aims to be one of the top industry platforms in Nigeria, which can be utilised as a major data source by healthcare policy-makers for planning and efficiency improvements in the sector.

As a result of this acquisition, the combined healthcare technology solutions are expected to position the Interswitch group as a health-tech solution and payments provider of choice to the healthcare industry going forward.

Commenting on the transaction, Mitchell Elegbe, Founder and Group Managing Director/Chief Executive Officer of Interswitch, said:

“We are a technology company that is innovating to deliver value across sectors that are critical to Africa’s social and economic development, our acquisition of eClat demonstrates strong progress along this strategy and alignment with our corporate vision.”

Also remarking on the acquisition, Dr. Wallace Ogufere co-founder/CEO of eClat Healthcare Limited stated:

“We expect to tightly integrate the eClat capabilities into the Interswitch platform, adding functionality that would enable providers to reach their entire patient populations by leveraging existing patient contact information.”

This new acquisition by Interswitch represents the latest of several strategic investments executed by the company to enhance Interswitch’s product and service offering and expand its reach into new markets as the payments technology sector in Africa expands rapidly.

In the last four years, Interswitch has also added VANSO and Paynet Group to its roster of acquisitions. There have also been talks of a dual IPO listing in both London and Lagos, slated for the next few weeks, which would could see Interswitch’s valuation hit USD 1.5 Bn.

Featured Image Courtesy: Interswitch via LinkedIn

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