IDB Invest has granted a 10-year loan of up to US$70 million to Megalabs, a leading pharmaceutical group in Latin America. The resources will strengthen the production of essential medicines for the elderly and will support investments in eight countries of the regionincluding Argentina, Bolivia, Chile, Colombia, Ecuador, Peru, Dominican Republic and Uruguay.
The loan will finance fourteen investment projects which include the expansion of existing pharmaceutical production plants, modernization and expansion of antibiotic plants, investments in efficiency programs, good laboratory practices and good manufacturing practices, and purchase of machinery and equipment.
The greatest advances in preventing, treating and cure age-related diseases have come about thanks to greater access to medicines.
In 2020, some 58 million people in Latin America and the Caribbean were over 65 years of age., and it is estimated that in 2030 it will rise to 145 million people, which is equivalent to almost one in five inhabitants of the region, according to the United Nations. The need to improve access and adequate costs becomes an essential aspect to maintain quality and life expectancy in the region.
With the project, it is expected to increase regional production of pharmaceuticals cwith the consequent positive impact on exports. In addition, It is estimated that during 2022-26 Megalabs will introduce around 140 new locally manufactured products to the market.
Thanks to the expansion of Megalabs, the generation of new direct and indirect jobsan effort that will be supported by IDB Invest through technical advice, whose objective will be to diagnose, prepare a regional strategy and training in the area of gender equality, diversity and inclusion.
Megalabs will also implement an action plan in corporate governance with the aim of continuing to advance in the improvement of management and control functions, as well as the development of a risk matrix adjusted to the characteristics and constant growth of the group.
The operation is expected to contribute to the following Sustainable Development Goals (SDGs) of the United Nations: Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8), Industry, Innovation and Infrastructure (SDG 9), Responsible Consumption and Production (SDG 12), and Partnerships to Achieve the Goals ( SDG 17).
IDB Invest is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects so that they achieve financial results and maximize economic, social and environmental development in the region. With a portfolio of US$15.3 billion in asset management and 375 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that respond to the needs of its clients in a variety of sectors.
megalabsis a pharmaceutical company committed to providing healthcare professionals and consumers with accessible therapeutic solutions for a healthier and more fulfilling life. It is present in 20 countries with more than 8,000 collaborators and offers more than 1,800 products that cross all therapeutic areas. Our continuous growth is supported by 17 own production plants, a highly diversified portfolio with more than 1,800 products and seven R&D centers. Megalabs is a forward-looking company with an established reputation as one of the leading pharmaceutical players in the Americas.