Roha Group has secured $42m in equity funding from shareholders for the initial development phase of Roha Medical Campus (RMC) in Addis Ababa, Ethiopia.
This investment marks the initial tranche of a $130m commitment for the first phase construction of RMC, an integrated 350-bed hospital expected to open in 2025.
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It is part of a broader financial strategy that also includes further shareholder contribution and $70m in debt financing led by a development finance institution, planned for the first half of this year.
With construction already underway, the campus is set to expand with another $200m funding, adding specialised hospitals, medical facilities, and a hub for teaching, research, and innovation.
RMC, which is poised to be the country’s first Joint Commission International-accredited hospital, will address the acute shortage of advanced healthcare facilities in the region and offer a range of treatments that are either new or limited in the local area or in Africa.
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Some of these treatments include oncology, nuclear medicine orthopaedics, cardiac surgery, neurosurgery, and spine treatments.
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By GlobalDataThe hospital will employ more than 4,000 medical, administrative and ancillary staff.
Most of the patients at the new facility are expected to be Ethiopian, while RMC is committing to accept a significant number of referrals from the government health system at reduced rates.
This initiative comes in response to the current shortage of hospital beds in Ethiopia, which stands at only 6% of the required capacity, according to the World Health Organisation.
To be situated near Addis Ababa Bole International Airport, the new hospital is anticipated to transform the city into a key destination within Africa’s $5bn-a-year medical tourism industry.
The project aims to reduce the $500m annual healthcare outflow from Ethiopia by providing advanced medical services that are currently sought in South Asia and the Middle East.
RMC general manager Welela Haileselassie said: “It is critical for us to ensure that treatment is widely available across all communities.
“Living in Ethiopia, you hear too often of people who suffer without access to treatment. This is not right, it’s not equitable. This hospital will change lives and save lives.”
RMC will address the acute shortage of advanced healthcare facilities in the region and offer a range of treatments, including oncology and neurosurgery.
