Arab Finance: RMBV has signed definitive agreements to invest in Egypt-based pharmaceutical manufacturer ATCO Pharma for Pharmaceutical Industries S.A.E. through its RNAF III fund, according to an announcement by Zilla Capital, the investment bank serving as ATCO’s sole financial advisor.
The proposed transaction combines primary and secondary shares, providing fresh capital to ATCO and establishing joint control with RMBV. Completion is subject to customary conditions, including approval from the Egyptian Competition Authority (ECA).
The investment will support ATCO’s plans to broaden its human and veterinary medicine portfolio, accelerate product introductions, and expand into regional markets. Dr. Ahmed Abu Al-Naga, ATCO’s Founder, will remain CEO, with the existing management team continuing to lead the business.
Abu Al-Naga outlined the company’s ambitions: “Building on 40 years of excellence and a strong foundation in Egypt, ATCO is entering a new chapter with a bold vision: to become a leading regional and global player in human and animal health. Together with RMBV, we will unlock new opportunities, accelerate strategic investments, drive innovation, and expand beyond borders, combining ATCO’s strengths with RMBV’s international expertise. This is not an exit; it is an acceleration of our ambition. Our people, values, and commitments remain unchanged, and our existing management team will continue to lead ATCO into this exciting new era of growth.”
For RMBV, the deal would mark its first investment in Egypt’s veterinary pharmaceuticals sector as part of its healthcare investment strategy in the country.
Ahmed Badreldin, Managing Partner of RMBV, said: “ATCO pairs founder vision and a strong management team with proven manufacturing and commercial depth. Animal health underpins the region’s protein supply, and we are proud to partner with the founders and their team as we support them in building a regional champion in veterinary and specialty human medicines.”
Zilla Capital advised ATCO’s founders on the transaction, with a team co-led by Moustafa El-Shenety and Khaled Gamal, both Founders and Co-CEOs.
El-Shenety said: “Founder-led champions are the backbone of Egypt’s pharmaceutical industry, and ATCO is one of the strongest among them. What set this transaction apart was the alignment: a founder who built a leading business from the ground up, and an investor who shares his conviction about how far it can go. We are proud to have brought them together, and we believe this partnership sets a benchmark for how founder-led businesses in the region can scale without losing what made them successful.”
The advisory team also included Omar Zakaria, Managing Director; Mariam Sherif, Director; Ahmed Maharem, Associate Vice President; and Nour Amal, Analyst. ADSERO provided legal counsel to ATCO’s founders, while Matouk Bassiouny & Hennawy advised RMBV.
