Mauritian company buys stake in Kenya beverage firm
Phoenix Beverages Limited (PBL) has received approval to acquire a 28.15 percent stake in a local firm that manufactures alcoholic and non-alcoholic beverages. PHOTO | SHUTTERSTOCK
Mauritius-incorporated firm Phoenix Beverages Limited (PBL) has received approval to acquire a 28.15 percent stake in a local firm that manufactures alcoholic and non-alcoholic beverages.
The Competition Authority of Kenya (CAK) on Wednesday announced it had cleared PBL to acquire the minority stake in Africa Originals Limited, an England and Wales incorporated firm that owns Savannah Brands Company. The value of the deal has not been made public.
“This approval has been granted on the finding that the transaction is unlikely to negatively impact competition in the market for manufacture, processing, distribution and sale of alcoholic ciders, alcoholic spirits and non-alcoholic ready-to-drink beverages,” said the CAK.
Savannah Brands manufactures, processes, distributes and sells alcoholic and non-alcoholic beverages including Kenyan Originals (KO) Alcoholic Fruit Cider, Kenyan Originals Gin and Kenyan Originals Iced Tea and Tonic.
PBL is also a manufacturer and seller of alcoholic and non-alcoholic beverages. PBL’s parent company IBL Group owns several businesses in Kenya including Naivas Limited.
The completion of the deal will also give PBL minority controlling rights relating to, among others, budgets, annual business plans and appointment of senior executives.
Naivas Limited, an affiliate of PBL, are vertically integrated since Savannah Brands supplies the supermarket chain with products.
