NAIROBI, Kenya, May 8 – Nairobi-based private equity firm Catalyst Principal Partners, has acquired Kenya’s leading biscuits manufacturer Jambo Biscuits Limited, with its flagship ‘Britania’ brand.
The Britania brand was established in Kenya over three decades ago and has evolved into a leading confectionary player.
Jambo Biscuits Limited offers a wide range of quality biscuits, catering to a diversity of consumer segments and tastes, available across an extensive network of informal and modern trade channels nationwide.
This is the first Catalyst Principal Partners’ investment under its second fund which achieved its first close of $103 million last month.
“The Britania brand has a strong heritage across Kenya with well-known products in the market. Our investment was anchored on the innovation platform consistently achieved by the brand within the biscuits category, as well as positive market fundamentals in a sector that is growing faster than GDP, propelled by younger demographics and growing disposable income,” said CEO of Catalyst Principal Partners Paul Kavuma.
Through a newly established firm, Britania Foods Limited, Catalyst will inject working capital as well as business strategy support in the institutionalization of the business.
This includes investment in technical capabilities, management change, reinforcement of the distribution network and strengthening of corporate governance.
“We have assembled an experienced management team with deep knowledge of the consumer goods sector and with international best practice expertise,” Kavuma added.
Catalyst Fund II LP is targeting $175 million of commitments under management and expects to hold a final close later in the year.
The firm’s sector focus includes consumer goods and retail, financial and business services, healthcare, industrials, manufacturing and value-add processing, technology and telecommunications.
Catalyst Fund I ($123million) is fully invested in a regionally diversified portfolio of nine high-growth companies.
Portfolio companies held include: Chai Bora (Tanzania), ChemiCotex (Tanzania), Effco Solutions (Tanzania), Zenufa Laboratories (Tanzania), Jamii Bora Bank (Kenya), Orbit Chemical Industries (Kenya), Yes Brands (Ethiopia) and Kensta Group (Kenya).
In October 2016 Catalyst successfully exited Goodlife Pharmacy.