TUNISIA – Pan-African private equity firm, Development Partners International (DPI) has invested US$56m into Société Industrielle des Conserves Alimentaires (SICAM), leading agri-business and tomato processor in Tunisia, aimed to reinforce its market leadership and help drive its international expansion strategy.
Aligned with DPI’s investment strategy focused on the emerging middle class in Africa and on consumer-driven industries, it is the second investment through its third fund, Africa Development Partners III (ADP III).
Through this partnership, SICAM will benefit from DPI’s significant regional and sector expertise and its active management approach to investing.
Tahar Bayahi, SICAM Chairman and CEO, stated, “We are delighted to welcome DPI on board as experienced and active investors as we focus on bringing our quality food and tomato products to our existing and expanding customer base.”
SICAM is the leading producer of canned tomatoes, pepper pastes, and jams and one of the most recognized brand names in Tunisia’s food and agri-industry.
Wholly owned by the Bayahi Group, a leading Tunisian conglomerate, SICAM has quickly become the fastest growing player and market leader of the sauces and condiments segment in Tunisia.
Its market leadership is in part driven by its strong relationships with the local farming industry, enabling it access to consistent tomato harvests.
As reported by AVCA, SICAM is the only player operating through a vertically integrated model running PROCAN, its fully owned subsidiary, manufacturing metallic cans for SICAM in various formats.
In addition to that through SICAM AGRI, the company provides farmers with technical advice, financing, tools and agricultural inputs.
Runa Alam, Co-Founder and Chief Executive Officer at DPI, stated, “We are pleased to be investing in SICAM. The agri-business industry presents an excellent way for DPI to deliver both financial returns while making an impact on the lives of SICAM stakeholders.”
DPI, through its Impact and ESG team, will also focus on increasing resilience to climate change impacts and on promoting sustainable agricultural practices throughout the business and supply chain.
The investment will allow SICAM to further improve the incomes of the farmers it partners with and the sustainability of food supply in the country.
Sofiane Lahmar, Partner at DPI, added, “Access to food and food production are key to Africa’s continued economic growth and development and SICAM is well positioned to benefit from these macro trends. DPI looks forward to working with the experienced Bayahi Group, who possess a strong track record of building successful businesses of scale across the country.”
“DPI has significant sector experience and expertise investing across the region, and we look forward to working with them to continue to drive the growth of our business and SICAM’s international and export strategy,” he added.
