Cairo – Mubasher: Ibnsina Pharma has reached an agreement with the Pharmacists Syndicate to cancel its investment in 3elagi Tech, an application that connects consumers with pharmacies, labs, and healthcare providers and enables them to order medicine online.
Under the agreement, the Pharmacists Syndicate agreed to end its boycott of Ibnsina Pharma and drop its legal action against the pharmaceutical company, according to a bourse disclosure on Monday.
The company’s Chairman, Mohsen Mahgoub, said that no procedures were taken for the proposed ownership structure changes and capital raise.
He stressed that Ibnsina Pharma has decided to cancel its investment in 3elagi app as it has always been in the side of pharmacists.
Ibnsina Pharma is still committed to its digital transformation plan which aims to raise efficiency and lower costs for pharmacists and Ibnsina Pharma in a way that serves the company’s business model and helps it achieve higher revenue growth rates, the Managing Director, Amr Abdel Gawad, said.
In 2020, the company has invested EGP 29 million in digital services, including Ibnsina Pharma app which serves more than 5,000 pharmacists. Sales via the app reached about EGP 70 million since it has been launched in July.
The company aims to invest additional EGP 12 million in digital services in 2021, he added.
In November, Ibnsina Pharma announced signing an agreement to acquire 75% of 3elagi Tech.
During the first nine months of 2020, the company achieved net profits of EGP 200.6 million, down from EGP 245.6 million in the same period in 2019.
