A Mauritian firm is set to acquire a controlling stake in Kenya’s Savannah Cement.
Barak Asset Recovery Limited has reportedly started the process of acquiring a 60% stake in Savannah Cement that is owned by Seruji Ltd, a company associated with Kenyan businessman Benson Ndeta.
“Barak Asset is registered in Mauritius and also has operations in Seychelles. In filings made at the COMESA Competition Commission as the firms seek regulatory approvals for the deal, the firm described its principal business as investment holding,” Kenya’s The Standard newspaper reported.
Seruji is also registered in Mauritius.
The Mauritius firm was cited as claiming that it would give Savannah a new breath of life by restructuring the company that has recently posted poor financial performance and setting it again on a growth trajectory.
“The proposed transaction entails the acquisition of 100% of the shares in Seruji by Barak Assets. The parties have submitted that Barak Assets hopes to restructure and grow the business of Savannah Cement which has experienced poor financial performance in the recent past,” said the CCC in a public notice.
The competition watchdog is set to consider the application by the companies.
Source: The Standard, Kenya