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HewaTele, a Kenyan medical oxygen supplier has raised $10.5 million from AfricInvest’s Transform Health Fund (THF) to build a large-scale liquid oxygen production plant and expand access to medical-grade oxygen across East Africa.
The financing, structured as a senior secured bridge facility, will fund the construction and equipment for a new Air Separation Unit (ASU)–based plant in Kenya. Once operational, the facility will produce oxygen at 99.6% purity, well above the World Health Organization’s 90% benchmark, and help stabilize regional supply chains that have long relied on imports.
Medical oxygen shortages remain a major gap in East Africa’s healthcare system. In Kenya, over 70% of Pressure Swing Adsorption (PSA) plants are either non-operational or producing below standard, limiting hospitals’ ability to treat pneumonia, conduct surgeries, and provide emergency care.
HewaTele, which previously operated PSA plants, is shifting to liquid oxygen (LOX) technology to cut costs and ensure more consistent output. Its existing investors include the Soros Economic Development Fund, Finnfund, UBS Optimus Foundation, and Grand Challenges Canada, backed by the Government of Canada.
“Oxygen is a cornerstone of healthcare,” said Noorin Mawani and Faisal Jiwa, Co-Leads of the Transform Health Fund. “HewaTele’s model offers a scalable solution to one of the region’s most persistent challenges.”
The deal underscores AfricInvest’s strategy to back healthcare scale-ups through THF, a $109.5 million blended-finance fund. AfricInvest manages more than $2.3 billion in assets across Africa, investing in over 230 companies across private equity, venture capital, and private credit.