Natalie Nyathi
Sanlam Private Equity, a division of Sanlam Investments, has agreed to acquire Medhold, a leading supplier of medical devices in Southern Africa, from Old Mutual Private Equity (OMPE).
The transaction is subject to regulatory approvals and is anticipated to be finalised by the end of 2025.
This strategic acquisition underscores the commitment of both financial services giants to the healthcare sector.
For Sanlam, the move aligns with its strategy of investing in established businesses with strong growth trajectories and a positive societal impact.
Paul Moeketsi, Managing Partner at Sanlam Private Equity, highlighted the urgent need for healthcare investment in South Africa and expressed excitement about working with Medhold’s team to make world-class medical technology more accessible.
“Medhold’s legacy of innovation aligns with our strategy to back market-leading businesses with strong growth potential. With the urgent need for healthcare investment in the country, we are excited to partner with Medhold’s exceptional team to expand access to world-class medical technology across critical sectors of the economy”, he said.
For Old Mutual Private Equity, the exit from Medhold aligns with its investment strategy of finding strong businesses, helping them grow, and selling them at the right time.
OMPE focuses on unlocking opportunities in mid-market companies that promise strong returns while benefiting communities.
Chumani Kula, Co-Head of Old Mutual Private Equity, described Medhold as an excellent investment that showcases OMPE’s ability to identify and build on key assets in important industries.
“Medhold has been an exemplary investment. It showcased our ability to identify leading businesses that can act as cornerstone assets to buy and build upon, to effect growth within essential industries in South Africa.”
“We enjoyed a strong partnership with a very high-quality management team, and we are pleased to leave the company in a formidable position, primed for continued growth”, said Kula.
Founded in 1989, Medhold is a key player in South Africa’s healthcare industry, providing a wide range of products including anesthetic delivery systems, orthopedics, robotic-assisted surgery, patient monitoring, and maternal infant care.
The company was listed on the Johannesburg Stock Exchange until 1998, and since Old Mutual’s investment in 2018, its earnings have increased significantly.
The acquisition by Sanlam Private Equity is expected to help Medhold grow further and expand its reach across Southern Africa.
Medhold’s CEO, Matthew Stephens, said he is looking forward to working with Sanlam Private Equity and values their vision for the future.
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