Ashish Koshy, chief executive of G42 Healthcare, which owns the region’s largest omics centre in Abu Dhabi. Vidhyaa Chandramohan / The National
Ashish Koshy, chief executive of G42 Healthcare, which owns the region’s largest omics centre in Abu Dhabi. Vidhyaa Chandramohan / The National
Ashish Koshy, chief executive of G42 Healthcare, which owns the region’s largest omics centre in Abu Dhabi. Vidhyaa Chandramohan / The National
Ashish Koshy, chief executive of G42 Healthcare, which owns the region’s largest omics centre in Abu Dhabi. Vidhyaa Chandramohan / The National

Abu Dhabi's G42 Healthcare teams up with AWS to offer genome sequencing


Alkesh Sharma
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G42 Healthcare, a subsidiary of Abu Dhabi's artificial intelligence and cloud computing company Group 42, has joined forces with Amazon Web Services (AWS) to develop a genomics, proteomics and biobanking service.

Genomics is the study of genes whereas proteomics is the study of proteins produced by the cell. Biobanking refers to the process of collecting body tissue for research to improve the understanding of health.

The partnership, which was announced at the Bio International Convention in San Diego, aims to make G42 Healthcare's sequencing, proteomics and data analytics capabilities available to “governments, population genome programmes and life science initiatives across the world”, the entities said on Tuesday.

Our goal with AWS is to take the capabilities that have taken years and significant resources to build — global and at speed
Ashish Koshy,
chief executive of G42 Healthcare

“Abu Dhabi is just a four-hour flight away from about 33 per cent of the world, and 80 per cent of the world is reachable with an eight-hour flight,” said G42 Healthcare chief executive Ashish Koshy.

“Our experience in facilitating the world’s most comprehensive population genomics initiative in Abu Dhabi showcases our deep understanding of how to deliver at scale — from sample management to advanced analytics.”

G42 Healthcare owns the region’s largest omics centre in Abu Dhabi that can deliver more than 500,000 whole-genome sequences per year. Omics refers to a field of study in biological sciences.

“Our goal with AWS is to take the capabilities that have taken years and significant resources to build — global and at speed. Our offering aims to leverage the extensive omics data management and bioinformatics solutions hosted globally on AWS at our customers' fingertips,” Mr Koshy said.

Investments in pharmaceutical and diagnostics fields have picked up in the recent months as companies increase their holdings within the healthcare sector.

G42 Healthcare established Biogenix Labs, the UAE’s first accredited, large-scale, throughput Covid-19 laboratory. It also arranged the 4Humanity clinical trials, the world’s first Phase 3 trial for a vaccine to fight against the coronavirus, with more than 43,000 volunteers taking part.

Its partnership with AWS will provide on-demand service for multi-omics data globally, Jens Dommel, head of public sector health care for Europe, the Middle East and Africa at AWS, said.

“Governments and researchers can benefit from democratised access to next-generation sequencing, proteomics and data analytics, supported by the most flexible and secure cloud computing environment available today,” Mr Dommel said.

Amazon’s subsidiary, AWS, provides on-demand cloud computing platforms to other businesses.

Last week, the Seattle-based company said its June quarter sales jumped more than 33 per cent annually to $19.7 billion, driven by an increased adoption of cloud services globally.

Last month, Amazon announced plans to acquire San Francisco-based healthcare provider One Medical for $3.9bn.

The US technology company indicated its interest in health care when it acquired PillPack, a full-service pharmacy, in 2018 for $750 million.

In 2020, it set up Amazon Pharmacy, allowing customers to order prescription medicine for home delivery.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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