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PE firm raises Sh15bn for regional flower industry

Kenya exports flowers
Kenya exports flowers to over 60 destinations globally. FILE PHOTO | NMG 

Private equity firm Exeo Capital has raised Sh14.6 billion in its second fundraising round to finance flower and horticultural products market.

Managing partner Herman Marais said part of the cash has been spent on five transactions in protein and packaging subsectors in East Africa as well as investments in aquaculture and beverages in South Africa.

“We are pleased with the extent to which investors in our first fund followed on the second food and agribusiness fund, Agri-Vie Fund II. We received several commitment of long-term funds from commercial investors, which has brought the firm’s assets under management to more than Sh30 billion.

Mr Marais said part of the new funds had been sunk into establishing one of the largest summer flower export groups in the East African region.

Exeo has interests in dairy, vegetable oils, convenience foods and agri-input sectors across Kenya, Uganda, Rwanda, Tanzania, Ethiopia, Mozambique, Zambia and South Africa.

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The firm said it was also eyeing Ghana and Ivory Coast for companies with a combination of growth potential and management know-how. It invests between Sh500m to Sh1.5 billion and gets involved in operations of the companies to enhance productivity while maintaining operational costs at the minimum.

Exeo did not rule out new investments away from the traditional focus area of food and agriculture sector. It is eyeing opportunities in logistics, fast-moving consumer goods, business support services, private education and health care.

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