Drugmaker Fidson Healthcare is betting that its new partnership with a trio of Chinese organizations will boost the quest to control the spread of HIV/AIDS cases in Nigeria and the rest of the African continent.
The partnership is expected to help Nigeria, which leads the West and Central African sub-region in terms of HIV/AIDS cases, find a cure for its many patients.
“We look forward to this collaboration and believe that the comprehensive strengths of all parties will inject new vitality into the healthcare delivery sector in Africa,” CEO Fidelis Ayebae said in a statement on Wednesday.
In addition, the agreement will address “the medical needs of more than 1.9 million people living with HIV in Nigeria, a priority focus of Aidea PharAidea.”
Fidson's joint venture partners include Jiangsu Idea Pharma, Nanjing PharmaBlock and China-Africa Development Fund.
Lagos-listed Fidson, where its shares have fallen 24.6 percent this year, is valued at N30.3 billion.
The four parties to the agreement reached on September 2 will join forces to establish an ultra-modern factory in the Lekki Free Trade Zone, with the overall goal of achieving continental self-sufficiency in the delivery of health services.
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Nigeria is currently finding support in a number of potential foreign direct investments from Asia, especially China and India, while portfolio investments, especially equity stakes in listed companies, continue to fade.
Consumer goods giants Procter & Gamble and GSK were among multinationals that closed their operations in the country last year.
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Diageo, the British-based manufacturer that was the majority owner of Guinness Nigeria for years, recently sold its stake in the beer maker.
The hit from divestment is perhaps hardest in the energy sector, where major companies such as Eni, ExxonMobil and Shell are awaiting regulatory approval to sell onshore and shallow-water assets.
Joint investment with Chinese companies will involve sharing information and resources, Fidson said.
“By integrating our experience and expertise in the field of innovative medicines, we are confident of bringing greater well-being to African patients,” said Heliang Fu, President of Jiangsu Aidea Pharma.