French company buying companies in South Africa and its neighbours
France-based CFAO Healthcare is pushing hard into South Africa and neighbouring countries and has recently purchased a 75% stake in Medswana, a Botswana-based company.
CFAO Healthcare launched its operations in South Africa in 2024 and began deploying its regional platform across Southern Africa.
It made its first investment in South Africa after acquiring Sanofi’s South African Consumer Healthcare business, Opella Healthcare South Africa, a prominent pharmaceutical manufacturer and distributor.
In South Africa, the company offers imports, distribution, regulatory compliance, local manufacturing, and medical promotion services through its partner, Ethica South Africa.
CFAO Healthcare delivers to over 11,000 pharmacies daily in French-speaking Africa, English-speaking Africa and the French Overseas Territories.
Notably, the broader CFAO group is owned by the Toyota Tsusho Corporation, whose largest shareholder is the automobile company.
The company is now expanding its operations in the region with the acquisition of a majority share of Medswana.
The French healthcare group will illustrate its strategy of building a regional pharmaceutical distribution network capable of meeting African healthcare needs.
It said that Botswana has one of the most structured healthcare systems in Southern Africa and maintains strong links with the South African market.
“This environment makes Botswana a strategic market for CFAO Healthcare’s regional expansion,” the group said.
Medswana is one of the leading players in the pharmaceutical distribution in Botswana, with over 3,800 product references and over 200 suppliers.
CFAO Healthcare aims to support the development of the Botswana market while strengthening the regional integration of its platform in Southern Africa.
CEO, Piet le Grange, retired upon completion of the transaction, with Mark Fallows, the Head of Operations, taking over.
“Botswana is a strategic market for our regional development. With Medswana, we are partnering with a recognised leader and experienced teams,” said Philippe Franiatte, CFAO Healthcare’s Southern Region CEO.
“Our ambition is to sustainably support the development of Botswana’s pharmaceutical sector while strengthening regional synergies to benefit healthcare systems.”
Jean-Marc Leccia, CEO of CFAO Healthcare, said that the deal is fully in line with its strategy to develop an integrated pharmaceutical distribution platform across the continent.
“In markets where access to medicines depends heavily on the quality of supply chains, our role is to provide high standards, continuity of service, and sustainable solutions,” said Leccia.
After the deal, the company will operate as Medswana Laborex and join CFAO Healthcare’s pan-African network.
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