IBL Set for Expansion in East Africa

IBL Group’s commercial and distribution arm, which recorded a turnover of Rs 32 billion in the last financial year, is continuing its development policy in East Africa.

It has already invested $200 million in the region, sealing over 60 deals since 2018, with five already completed.

IBL, which has injected $140 million in Africa since the start of this financial year, shows no signs of slowing down. Naivas, boasting 99 supermarkets in Kenya, is set to open its 100th store in Nairobi next week.

Before February 2020, Naivas was a fully family-owned business from its inception. A consortium of investors led by the French private equity firm Amethis later acquired a 30% stake. This was subsequently sold in June 2022 to a consortium led by IBL.

Michel Pilot, COO of IBL East Africa Investment, explained that IBL took over the chairmanship of Naivas’ board since the group acquired a 51% stake.

The operational performance of IBL’s commercial and distribution segment rose by 31% for the financial year ending June 30, 2023.

Winners’, for example, saw double-digit growth in its revenue and profitability.

The group is set to acquire 67% of Harley’s in Kenya through Proparco – a subsidiary of the French Development Agency (AFD) – a partner in a consortium.

This transaction is expected to be finalised by the end of October. Harley’s is involved in the import and distribution of medical and pharmaceutical products.