Manufacturing Start-Up Libstar Sells Its Household And Personal Care Business To PAPE Fund Managers And Kanaka Chemicals
Manufacturing Start-Up Libstar Sells Its Household And Personal Care Business To PAPE Fund Managers And Kanaka Chemicals. Manufacturing company Libstar has announced that it has received an offer from PAPE Fund Managers Proprietary Limited and Kanaka Chemicals Proprietary Limited to acquire a 70% equity interest in the household and personal care businesses of Libstar comprising of the Contactim and Chet Chemicals divisions for a total of R174.6 million.
The Transaction serves to amplify Libstar’s strategic intent to focus and grow its existing food categories whilst transitioning its non-food division to a sustainable, transformed standalone business in partnership with the Purchasers. In a statement Libstar said “Implementation of the transaction is subject to the fulfilment or waiver, as the case may be, by no later than 30 June 2022.”
Libstar is a producer and distributor of quality products and brands for the Consumer Packaged Goods Industry in South Africa and internationally. It was founded in 2005 to acquire and grow operations in the consumer packaged goods (CPG) industry. Over the years, it has followed a strategy of acquiring controlling equity stakes in existing food and beverage, and household and personal care businesses that demonstrates sound entrepreneurial management and high-growth potential.
Its extensive product portfolio consists of more than 9 000 products and features many well-loved household staples. Over 90% of group revenue is generated from food, which includes dairy and value-added meat products, fresh produce, convenience food, groceries, baking and baking aids, snacks and confectionery.
PAPE is a boutique private equity fund manager with a 13-year track record across multiple fund mandates investing in sub-Saharan Africa such as the Evolution One Fund, the first cleantech fund on the continent, capitalised at $94 million, and which had predominately international investors such as the IFC, European Investment Bank, African Development Bank and other international DFIs.
