Month: April 2025

  • Telecom Italia’s major shareholder has been Poste Italiane

    Telecom Italia’s major shareholder has been Poste Italiane

    After a decade under French control, Telecom Italia SpA now has an Italian state-backed group as its top investor — and it’s one that wants to foster mergers and acquisitions in the telecoms market.

    Postal service Poste Italiane SpA this weekend became the phone company’s biggest shareholder with a holding of nearly 25%, after purchasing the majority of a stake held by French media conglomerate Vivendi SE. Poste says the deal will support industry consolidation.

    It’s a shape-shifting moment for a troubled carrier that was privatized nearly 30 years ago, and it comes at a time when governments from the US to Europe are taking a more active role in corporate affairs.

    It also comes as Iliad SA is seeking to shake up the Italian sector through M&A, possibly by combining its local unit with Telecom Italia.

    Government oversight could offer some advantages to Telecom Italia, which Rome views as a core national asset given the volume of sensitive data it handles and the strategic importance of its digital infrastructure.

    Prime Minister Giorgia Meloni’s right-wing government has kept a close eye on companies it considers “national champions,” and her administration has seen Poste as a natural fit for Telecom Italia.

    Still, whether state-backed Poste can succeed where private investors failed remains an open question. Telecom Italia has been a chronic underperformer for years, hobbled by a growing debt pile that forced the firm to last year sell off its landline network, its most valuable asset, in a deal valued at as much as €22 billion ($23.8 billion).

    Italy has one of the world’s most competitive telecoms markets, already largely in the hands of foreign players. Domestic competitors include Swisscom AG’s Fastweb — which last year bought Vodafone Group Plc’s local unit — and CK Hutchison Holdings Ltd.’s Wind Tre SpA. Vivendi retains a 2.5% stake in Telecom Italia.

    The company’s legacy as a former monopoly operator crippled it from the start through a complex mix of high labor costs and ever-higher investments. Partnering with Poste Italiane could breathe new life into Telecom Italia, possibly even giving it a chance to be a player in the next wave of sector moves. Bloomberg

  • Rapid malaria evaluations via the WHO detector

    Rapid malaria evaluations via the WHO detector

    Malaria rapid diagnostic tests are under the spotlight at the World Health Organization (WHO), after reports that devices showed positive faint lines for patients with a confirmed malaria infection.

    The WHO said that reports came in last year about positive faint lines. These were predominantly observed in patients with low parasitemia, a term used for the small presence of parasites in the blood. However, some patients with higher parasitemia also generated faint test lines – patients in this group would usually produce strong bands on rapid tests.

    When asked about which manufacturers are impacted by the notice, a WHO spokesperson told Medical Device Network that it is “currently not in a position to provide any more detail on the products”.

    Abbott, Advy Chemical, and Zephyr Biomedicals, amongst others, have tests that meet the WHO’s regulatory standards, as per the agency’s product prequalification database. Exact data on the most widely used brand is difficult to ascertain. In a British Medical Journal (BMJ) study of 85,000 participants across various countries in Africa, Abbott’s SD Bioline Malaria Ag Pf was the most common rapid diagnostic test brand.

    False negative tests usually lead to misdiagnosis, and delays in diagnosis and treatment. The faint test lines, which increase the risk of false negative tests, have led to the issues in recent reports to the WHO.

    “In circumstances where misdiagnosis occurs, the potential for harm, such as death or serious deterioration in health, is increased,” the WHO said in a statement.

    Rapid diagnostic tests have become a key framework for malaria diagnosis. They are an accessible alternative to disease diagnosis by microscopy, where laboratory services might not be available.

    The in vitro diagnostic works by detecting specific antigens produced by malaria parasites in the blood of infected individuals. Depending on the manufacturer, tests can either detect one or multiple species. Their use has led to a sustained increase in testing rates and more accurate tracking of malaria cases.

    According to the medical product alert, incidents were reported in several countries for various products detecting both Plasmodium falciparum and Plasmodium vivax, and products detecting Plasmodium falciparum and pan species.

    Those who use the tests in national control programmes have been recommended to ensure proper transport and storage, up-to-date training, and visual acuity requirements for users. Testing sites should also be contacted to seek feedback on unusual trends, as well as supporting manufacturers.

    As per WHO recommendations, any test line – no matter its faintness – should be recorded as a positive test. However, there have been calls from academia to improve the detection of these bands. For example, some evidence suggests that these bands are sometimes too faded to be seen in poor lighting, a problem in low and middle-income territories.

    There were an estimated 263 million cases of malaria in 2023. The WHO African region carries the highest disease burden, accounting for 94% of cases and 95% of deaths.

    WHO has been grappling with the loss of funding to key malaria programmes in Africa following the suspension of USAID funding. Efforts to fight other infectious diseases such as mpox and tuberculosis have also been impacted.

    “WHO warns that faint lines on rapid tests may cause malaria misdiagnosis” was originally created and published by Medical Device Network, a GlobalData owned brand. GlobalData

  • 145 grants are revoked by the US National Institutes of Health

    145 grants are revoked by the US National Institutes of Health

    The federal government has cancelled dozens of grants to study how to prevent new HIV infections and expand access to care, decimating progress toward eliminating the epidemic in the United States, scientists say.

    The National Institutes of Health (NIH) terminated at least 145 grants related to researching advancements in HIV care that had been awarded nearly $450m in federal funds. The cuts have been made in phases over the last month.

    NIH, a division of the Department of Health and Human Services, is the largest funding source of medical research in the world, leaving many scientists scrambling to figure out how to continue their work.

    “The loss of this research could very well result in a resurgence of HIV that becomes more generalized in this country,” said Julia Marcus, a professor at Harvard Medical School who recently had two of her grants cancelled. “These drastic cuts are rapidly destroying the infrastructure of scientific research in this country and we are going to lose a generation of scientists.”

    In 2012, the FDA approved pre-exposure prophylaxis (PrEP), an antiviral drug taken once a day that is highly successful at preventing new HIV infections. While the drug has been a powerful tool to contain the virus, inequities remain in accessing those drugs and sustaining a daily treatment. Despite major progress, there are still 30,000 new infections each year in the US.

    Many of the terminated HIV-related studies focused on improving access to drugs like PrEP in communities that have higher rates of infections – including trans women and Black men. One of Marcus’s projects was examining whether making PrEP available over the counter would increase the use of the drug in vulnerable communities.

    “The research has to focus on the populations that are most affected in order to have an impact and be relevant,” said Marcus.

    Yet, this may be the justification for defunding so many HIV-related studies. A termination letter reviewed by the Guardian dated 20 March cited that “so-called diversity, equity and inclusion (DEI) studies are often used to support unlawful discrimination on the basis of race and other protected characteristics, which harms the health of Americans.”

    The National Institutes of Health did not expand on why the grants were terminated in response to questions from the Guardian. In a statement it said it was “taking action to terminate research funding that is not aligned with NIH and HHS priorities. We remain dedicated to restoring our agency to its tradition of upholding gold-standard, evidence-based science.”

    Many researchers were left stunned by the scale of the cancellations since in 2019, Donald Trump announced in his State of the Union address a commitment to eliminate the HIV epidemic in the country over the next 10 years. As part of this initiative, his administration negotiated a deal with drug companies to provide free PrEP for 200,000 low-income patients.

    “Scientific breakthroughs have brought a once-distant dream within reach,” said Trump in his address. “Together we will defeat Aids in America.”

    Amy Nunn, a professor at the Brown University School of Public Health, said she had even tailored grant proposals to fit the policy goals of the initiative, which included geographically targeting HIV prevention efforts. One of her studies that was terminated focused on closing disparities of PrEP use among African American men in Jackson, Mississippi.

    “They finally adopted those policies at the federal level,” Nunn said, noting that Trump was the first president to make ending the epidemic a priority. “Now they’re undercutting their own successes. It’s so strange.”

    Though hundreds of millions of dollars in federal funds had been awarded for the grants, the terminations will not recoup all of that money for the administration, since many are years into their work. Some are even already finished.

    Nathaniel Albright learned earlier this month that an NIH grant supporting his doctoral research was cancelled even though his project had already been completed. A PhD candidate at Ohio State University, Albright is defending his dissertation at the end of the month. Still, Albright is concerned how the cuts affect the future of the field.

    “It’s created an environment in academia where my research trajectory is now considered high risk to institutions,” said Albright, who is currently struggling to find postdoctorate positions at universities.

    Pamina Gorbach, an epidemiologist who teaches at University of California, Los Angeles, had been following hundreds of men living with HIV in Los Angeles for 10 years to learn their needs. She had been awarded an NIH grant to better facilitate their treatment through a local clinic. Her funding was cancelled earlier this month as well.

    “It’s really devastating,” said Gorbach. “If you’re living with HIV and you’re not on meds, you know what happens? You get sick and you die.”

    Clinic staff in Los Angeles will likely be laid off as a result of the cuts, said Gorbach. Others agreed one immediate concern was how to pay their research staff, since the funds from a grant are immediately frozen once it is terminated. The NIH funds also often make up at least a portion of university professor’s salaries, all said they were most alarmed by the impact on services for their patients and the loss of progress toward ending the epidemic.

    “This is erasing an entire population of people who have been impacted by an infectious disease,” said Erin Kahle, the director of the center for sexuality and health disparities at the University of Michigan who lost an NIH grant.

    Scrapping an entire category of disease from research will have innumerable downstream effects on the rest of healthcare, she added.

    “This is setting us back decades,” said Kahle. The Guardian

  • M&A transactions tend to surge in value; medical is a show-stopper

    M&A transactions tend to surge in value; medical is a show-stopper

    Mergers and acquisitions in India will likely see a surge in volumes in 2025-26 both because of a volatile equity market and strong corporate balance sheets, said investment bankers and dealmakers at the Mint India Investment Summit.

    M&A activity in 2024 fell to a four-year low in terms of deal value to $80.5 billion, down 11.4% from the year before, show data from LSEG Deals Intelligence. Last year, however, was India’s busiest dealmaking year with 2,756 deals announced.

    “If you are talking about M&A, in the last two years M&A volumes were down. That was offset by robust equity market volumes,” said Arun Saigal, managing director and head of financing and M&A, Barclays India. “If you were to ask me going forward for the next 12-18 months, we would expect M&A volumes to be up because equity markets are clearly a little more volatile.”

    The drivers for domestic M&A activity are many, added Chandresh Ruparel, MD and head of India, Rothschild & Co, with “India being still a bright spot relative to where the world stands today. The market is huge. There is a lot to be achieved”.

    Corporate balance sheets of Indian companies “are the strongest ever”, he added.

    “I think there is a lot of cash sitting on Indian balance sheets today. Second, the size of the opportunity is huge. You look at the Birlas, Adanis and Tata’s, everybody’s out putting greenfield plants now and diversifying. So the opportunity set and the returns that India has to offer are significant,” said Ruparel.

    Saigal expects more inbound M&A activity in the coming years. “It (inbound activity) is down to about $50 billion a year, which is lower from the peak of $70 billion. One thing is clear: There is a lot of dry powder, and outside of US there is a lot of interest towards India globally,” said Saigal.

    The top sectors
    Among sectors, infrastructure, energy, cement, healthcare and pharmaceuticals, and media and telecom are likely to witness the maximum number of deals and consolidation over the next few years, said experts at Mint’s annual summit, which was held on Friday and Saturday.

    “Traditionally, we have gone through greenfield, brownfield M&As. We are seeing a lot more activity on the M&A side,” said Amit Kothari, chief executive, JK Cement, UAE. “We have done about 3-4 acquisitions over the last two years. We entered the paints industry through our white cement business, which is a natural next step. And the reason for going for an acquisition was not just adding capacity, it was also in the interest of adding know-how and innovation.”

    Saigal added that from a domestic standpoint, a large part of M&A activity would be due to consolidation in the sectors mentioned above.

    “Corporate balance sheets are incredibly clean. I think scale is also helpful in lowering cost of capital, navigating the ecosystem. So some of those drivers will continue,” said Saigal.

    Sidharrth Shankar, partner, JSA Advocates and Solicitors, said the information technology and IT-enabled services (IT and ITes) sector was undergoing a consolidation.

    “We are looking at whether there could be Indian conglomerates looking at… an overseas acquisition that is a billion-dollar deal. You can look at HCL’s large deal, which they’ve recently concluded in 2024. We’ve looked at Wipro buying out, we looked at L&T. So if you look at FY24 itself, we saw a fair bit of acquisition kind of mode,” said Shankar.

    Saigal added that as Indian companies grow in size, scale and capabilities, domestic and inbound deals would continue to dominate M&A activities in India.

    “Outside of the US, India is probably the second place most investors want to put money to work. So as these valuations correct, you would definitely see inbound activity increase, chiefly from the financial investor community,” said Saigal.

    The renewables opportunity
    Experts at Mint’s investment summit said India’s renewable energy industry was also likely to attract a significant number of deals as companies raced to capitalize on the country’s aspiration to become a net zero emissions nation by 2050.

    Rothschild’s Ruparel said the potential of the renewables sector has barely been tapped. “We have not even scratched the surface as far as renewables is concerned,” he asserted, pointing to the certainty of returns being attractive to investors and the sheer requirement of powering the Indian industry on sustainable energy.

    “Renewables and broader infrastructure have probably been one of the busiest sectors consistently for the last few years,” added Saigal.

    All that said, Shankar of JSA emphasized the critical role of corporate governance standards in attracting both domestic and foreign investments as far as M&A deals are concerned. LiveMint

  • Civic group in Coimbatore to build MPM Healthcare Center

    Civic group in Coimbatore to build MPM Healthcare Center

    A Model Primary Maternity Care Centre will be set up at the Seethalakshmi Urban Primary Health Centre in R.S. Puram, Coimbatore, to provide round-the-clock maternity services. The facility aims to provide early care for the increasing number of high-risk pregnancies, which have led to a decline in normal deliveries at Corporation-run health centres.

    According to the civic body, Coimbatore city records 24,000 to 25,000 child births annually. The 32 urban primary health centres (UPHCs) under its administration each have only one doctor, and during night hours, only one nurse is available. This has limited maternity care services, forcing many economically disadvantaged families to rely on the Coimbatore Medical College Hospital for deliveries.

    The proposed centre will have five dedicated doctors, two paediatricians (on-call), ten nurses, three laboratory technicians, and six medical staff, in addition to the three maternity specialists already serving under the Corporation. Medical equipment, hospital beds, medicines, and emergency communication facilities will be procured at an estimated cost of ₹1.5 crore. The initiative aims to improve maternity care accessibility for low-income families in urban areas.

    City Health Officer A. Mohan said that while UPHCs currently handled around 30 to 35 deliveries a month, the number used to be around 50. “High-risk cases are increasing, and UPHCs generally refer such cases to government hospitals even for consultation and early care. To decongest the government hospital and improve convenience for the public, a model centre dedicated to provide care for high-risk pregnancies will be established. Based on its performance, there are plans to set up similar centres in each of the city’s five zones. A detailed study will be conducted in consultation with senior gynaecologists and experts before finalising the plan,” he said.

    He also mentioned that a 3,000 sq. ft. dialysis centre planned at the Seethalakshmi health centre was expected to be ready within a month. The Hindu