Kenafric, Led By Kenya's Shah Family, Set For 100 Million Stake Sale By Private Equity Firms
- Amethis and Metier Private Equity plan to sell over 100 million stakes in Kenafric Industries, East Africa's largest confectionery maker.
- Kenafric Industries has expanded across East Africa, producing over 40 million pieces of gum monthly with a strong retail network.
- The planned stake sale aligns with growing private equity exits in Africa, offering Kenafric potential for further expansion and market growth.
In a strategic pivot to realize returns on early investments, Amethis and South Africas Metier Private Equity Ltd. are reportedly looking to sell stakes worth over 100 million in Kenafric Industries Ltd., East Africas largest confectionery maker. The company is controlled by Kenyas billionaire Shah family.
The private equity firms have enlisted Nedbank Group to lead the sale process, according to Bloomberg . Kenyas I M Burbridge Capital is also advising on the transaction, which may see the Shah family reduce their holdings in the company they established in 1989.
Kenafrics rise from footwear to leaderKenafric Industries , founded in 1987 by Bharat Shah, Mayur Shah, Nilesh Shah, and Kirtan Shah, has grown from a modest footwear maker to one of the largest producers of confectionery, beverages, biscuits, and culinary products in East Africa.
Under the leadership of Bharat Shah who serves as chairman and Kirtan Shah who serves as managing director, the family-owned enterprise has expanded its footprint across Kenya, Uganda, Tanzania, Rwanda, Burundi, Congo, and Malawi, employing over 1,500 people directly and impacting more than 7,500 indirectly.
With the capacity to produce and sell over 40 million pieces of gum monthly, Kenafric has emerged as a market leader in the regions confectionery sector. The companys robust distribution networkcomprising 200 motorbikes reaching 40,000 retail outletshas enabled it to dominate both informal and formal trade channels.