Amethis, an Africa-focused investment fund manager, and its partners have bought a minority stake in Kenyan supermarket chain Naivas Group.
The other investors joining the France-based Amethis in the acquisition were DEG, MCB Equity Fund and World Bank Group member IFC.
The financial details of the transaction were not disclosed.
Founded in 1990 by the Mukuha family, Naivas is a mass distributor and has nearly 60 stores across Kenya. The Kenyan supermarket chain intends to pursue its expansion strategy across the African country.
David Kimani – Managing Director of Naivas said: “We are very excited about this partnership. As we embark on our next phase of growth, having an experienced investor with us will further strengthen the business.
“Amethis has a strong track record investing across Africa and in Kenya, which will add value to our operations.”
According to Amethis, the investment in the Kenyan supermarket chain is the fourth of its Amethis Fund II. The investment fund manager will provide support to the retailer’s expansion strategy, which is being implemented for the creation of a top retailer in Kenya.
Amethis said that Naivas is looking to continuously enhance its supply chain and develop its private label segment while reinforcing its relationships with suppliers. This is expected to help the Kenyan supermarket chain to strengthen its position and expand further with new store openings in the country.
Jean-Sebastien Bergasse – Partner at Amethis said: “In a Kenyan retail landscape where many competitors from abroad are settling in, we are proud to support a very successful Kenyan business who understand the better the Kenyan consumer.
“We look forward to working jointly with the shareholders and management team to further expand the business’ operations and store network and keeping at the same time a strong Kenyan identity.”