Proparco, a French sovereign wealth fund, has acquired a 40 per cent stake worth $31.5 million (Sh3.7 billion) in Kenya’s supermarket chain Naivas.
Proparco is acquiring stakes owned by a cluster of investors, including World Bank’s International Finance Corporation (IFC), MCB Equity Fund, Amethis, and German sovereign wealth fund DEG, which acquired the shares in the retailed for KSh6 billion in April 2020.
“Proparco is pleased to announce its partnership with IBL Group, the largest conglomerate of Mauritius [and] DEG, to jointly acquire a 40 per cent interest in Naivas International, which owns 100 per cent of the shares of Naivas Limited,” the French fund in a statement.
From the 30.0 per cent sale transaction by IFC and Amethis, IBL Group, the most significant investment Consortium in Mauritius, purchased the largest stake, thus becoming its most considerable investment worldwide and the first in East Africa.
“This signifies the investors’ high appetite for Kenya’s retail sector, particularly Naivas, which continues to outshine other retailers in the country,” according to Cytonn Investments Analysts.
Currently, Naivas operates a total of 84 outlets in the country.
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