KENYA – Devenish Nutrition, a North Ireland based agri-business firm, has acquired a 42% stake valued at US$2.22 million (Shs225 million) in Kenya based animal feed manufacturer, Sidai Africa.
Christie Peacock, Sidia Africa founder said that the transaction will enable the firm boost its operations and grow its product portfolio, reports Business Daily.
“I am delighted that Devenish has decided to make this significant investment in Sidai. The partnership will ensure that Kenya’s farmers will have the best technology available globally,” he said.
“Devenish’s global reputation and experience will help us serve local farmers far much better than we did by ensuring only genuine products are sold in our branded outlets” added Sidai managing director Anthony Wainaina.
On his part, Peter Wallace, Devenish executive vice chairman, said the strategic investment in Sidia will also enable Sidai to grow its market share as well improve farmer earnings.
Sidai was incorporated as a Kenyan firm eight years ago and has remarkably grown its business into a current 87 franchisees, 11 branded stores and 1,500 stockists under its 20 branded products and employing 120 people.
In the recent past the Belfast headquartered Devenish Nutrition, has embarked on an aggressive acquisition strategy marked its recent acquisition of Yorkshire-based A-One Feed Supplements.
“Our objective is to grow organically and by acquisition so more acquisition activity is likely. It will be governed by our ability to identify businesses that are of interest for one reason or another or by business locations,” said Owen Brennan, CEO and chairman of the Devenish Group in an interview with Feed Navigator.
Additionally, Devenish also secured US$133.13 million long-term funding comprising US$45.13 million (€40m) from the European Investment Bank and additional commitments from Ulster and Danske banks.
Devenish said that it would invest the funds on its global expansion across different part in Europe, Africa, Asia, the United States, the UK and Central America where it was to acquire at least seven companies.
The company which makes pre-mixed and