1. A CONCEPT ON INVESTMENT OPPORTUNITIES IN MSAMBWENI HOSPITAL
KWALE COUNTY
MINISTRY OF HEALTH
A CONCEPT ON INVESTMENT OPPORTUNITIES IN MSAMBWENI HOSPITAL

2. Kwale County Background
Kwale County is unique in its bio-diversity, mining wealth, size, and historical significance for health.
Hosts local and international industries
Estimated population of 750,000 people
Growing population and an increasing need for specialized medical services.
Many people lack access to high quality medical care
91 health facilities including 3 major public
Msambweni District Hospital as a county referral
Kwale County is the site for the extraction of titanium and one of the top five regions in the world with rare earth deposits of Niobium.
Base Titanium
Kwale International Sugar Company (KISCO)
Kenya Calcium,
Kenya Bixa
Cortec and
several quarries

3. Msambweni District Hospital

4. Msambweni District Hospital - Overview
early 1940s established as a dispensary
on 23rd August 1997 officially opened
168 beds on 5 wards
7 consultants
General Surgeon
Gynecologist
Dentist
Physician
Pediatrician
Orthopedic Surgeon (volunteer )

5. Msambweni District Hospital - Patients
85 % bed occupancy
5 days average length of stay
ca. 25,000 patients attended to in filter clinics
1,500 patients/month in Special Clinics
600 admissions/month in the inpatient department

6. Msambweni District Hospital - View
The only hospital in Kenya that has 15 acres of unused beach plot.

7. Msambweni District Hospital
Vision
To be an efficient Medical care hospital
for a healthy Nation.
Mission
To promote and participate in
the provision of integrated high quality
Curative and Rehabilitative services
to all Kenyans.
Kwale County wants to upgrade Msambweni hospital from Level 4 to a Level 5 hospital.

8. Concept - Goal
Our goal is to identify a group that will be interested in establishing a partnership with the expansion and enhancement of this medical facility. The county is seeking a partner that will be able to provide equity financing, absorb debt and provide a higher level of specialist training to local staff.

9. Concept - Primary partners
As a joint venture, this project will entail that various parties play different roles to ensure the success of this venture.
Kwale County Government
Msambweni Hospital
Investor/Development partner
As a joint venture, this project will entail that various parties play different roles to ensure the success of this venture.
•Kwale County Government: The county government will assist in facilitating this opportunity by providing full licensing, manpower and contribute towards financing.
•Msambweni Hospital: The current administration of the facility will play a key role in facilitating the upgrade to a Level 5 hospital.
•Investor/Development partner: The investor will provide capital towards the costs of upgrading the medical facility and will enter a partnership with the county government and the hospital.

10. Concept - Secondary entities
The following companies and entities will be enticed to further facilitate this opportunity:
Kwale County Ministry of Industry Trade and Investment:
Medical training institution
Base Titanium
Apollo Hospitals
SIGN (Surgical Implant Generation Network)
Other potential partners are Kwale International Sugar Company (KISCO), Cortec Mining Kenya Ltd. and Rift Energy.
The following companies and entities will be enticed to further facilitate this opportunity:
Kwale County ministry of Industry Trade and Investment: Will facilitate introductions between all parties.
Medical training institution: will provide medical experts; along with facilitate training for Kenyans.
Base Titanium through its Community Development department has already shown interest in cooperation in this development.
Apollo Hospitals through MoU with Apollo Hospital free training of Health care workers in their facilities will start soon and specialised surgical camps are in planning.
SIGN (Surgical Implant Generation Network) Msambweni is one of the few hospitals in Kenya who are partnering with SIGN who provide free orthopaedic implans for the fixation of long bone fractures.
Other potential partners are Kwale International Sugar Company (KISCO), Cortec Mining Kenya Ltd. and Rift Energy.

11. Concept - Proposed services
Proposed services that will be offered at the facility:
Cardiology
Neurology
Orthopaedics and Joint Replacement
Oncology/Haematology
Intensive/Critical Care
Medical and Surgical Gastroenterology
Endocrinology
Radiology & Imaging
Amenity wards

12. Concept - Proposed services (2)
Obstetrics/ Gynaecology
Laboratory Services
Renal/Dialysis Unit
Satellite Center /Blood bank. (The next blood transfusion center is located in Mombasa.)
Burns Unit
Hospice for terminally ill patients
Physiotherapist services
New Born Unit

13. SWOT Analysis Inadequate number of staff Inadequate staff housing
Strength
Weaknesses
Trained nurses and doctors
Well established Level 4 hospital
Proximity of KMTC
Well established existing facilities (2 OR, laboratory, radiology etc.)
Very active research laboratory
Already established partnerships
Very committed and active Hospital Management Board
Only hospital in Kenya that has more than 15 acres of unsed beach plot.
Inadequate number of staff
Inadequate staff housing
Hospital needs renovation (roof, window frames, varnish)
Ordering system on medical supplies needs improvement
No maintenance plan in place
Inadequate Laundry Service

14. Strength
Active community
Beautiful scenery

15. SWOT Analysis
Opportunities
Threats
Social benefits for local community
Wide range of medical services
Partnering with a training institution
Healthcare Sector is rapidly growing
Budget will be designed to provide capital for expenditure as the facility will be upgraded.
Interest of international Companies
Seek to identify investors
Cost of doing business in Kwale County remains comparatively low
Investor friendly
Earmarked to host a Vision 2030 Resort City project at Diani Beach
Medical institutions are not considered to be profitable within the time frame of most investors
While there is a demand for increased medical services, the local population is not entirely financially stable
Capital intensive
partnering with a training institution, long term network and employment options
The Kwale County Public Finance Act 2014 is investor friendly and supports business establishment and expansion
Kwale is one of the three counties earmarked to host a Vision 2030 Resort City project at Diani Beach which currently hosts about 25 tourist hotels and several restaurants

16. Strategy – How to?
This project will be successful because these critical engines will drive its performance:  
Introduction between the project managers and potential investors.
Discussions on requirements and need for upgrades .
Regular visits of Investor with project managers
Agreement on the level of financial commitment.
Training institution will be introduced and provide their potential courses, along with available staff through their network
Stakeholders will finalize all commitments and upgrade of the hospital will begin
Ministry of ITI facilitates introduction between the project managers and potential investors.
During discussions, hospital administration, county health board and developers will discuss the requirements and need for upgrades
Investor will visit the project managers and discuss the finer details of the project.
Investor and project manager will finalize agreement on the level of financial commitment.
Training institution will be introduced and provide their potential courses, along with available staff through their network
Stakeholders will finalize all commitments and upgrade of the hospital will begin

17. Strategy – How to? 1. Introduction 2. Discussions on requirements
3. Regular Visits
4. Agreement
5. Training institution
6. Stakeholders finalize all commitments
Ministry of ITI facilitates introduction between the project managers and potential investors.
During discussions, hospital administration, county health board and developers will discuss the requirements and need for upgrades
Investor will visit the project managers and discuss the finer details of the project.
Investor and project manager will finalize agreement on the level of financial commitment.
Training institution will be introduced and provide their potential courses, along with available staff through their network
Stakeholders will finalize all commitments and upgrade of the hospital will begin

18. Strategy - Financing The total expected amount for this project is:
xxxxxxxxxxxxx – The money will be used for:
Buildings and infrastructure
Medical Equipment
Ambulances
Information Technology
Marketing
Working Capital
Refurbishment

19. Strategy - Projected IRR
The projected return on investment for this project is:
xxxxxxx% per annum
Revenue will be generated from:
Inpatient admission
Outpatient consultation
Pharmaceuticals
Lab and Diagnostics fees
Surgical fees
Income from private amenity ward
Income from conferences, meals and accommodation

20. Strengthen existing structures
Include new services
Become Level 5 Hospital.
Conference Center attached to the hospital and Doctors’ plaza for private consultations
Looking Ahead
The following slides show several examples of timelines using SmartArt graphics.
Include a timeline for the project, clearly marking milestones, important dates, and highlight where the project is now.

21. Looking Ahead - The Vision
As soon as the hospital has achieved its goal of becoming a Level 5 facility, the following opportunities will arise:
A Conference Hotel attached to the hospital.
A private retirement home for elderly citizens
Doctors plaza for consultation services
Those facilities will be privately run and managed
As soon as the hospital has achieved its goal of becoming a Level 5 facility, the following opportunities will arise:
A Conference Hotel attached to the hospital, which could provide:
accommodation for medical tourists,
specialists who carry out operations and specialised treatment for the patients within Msambweni Hospital
Hosting national and international Conferences
Doctor’s Plaza, where private patients can be offered specialised treatments.
A private retirement home for elderly citizens. These clients will prefer to spend time in a resort environment in a beautiful scenery, with the certainty, that all of their (medical) needs are met.
Those facilities will be privately run and managed

22. Looking Ahead