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FRENCH company Lesaffre (Sociètè Industrielle Lesaffre), which is considered to be the world leader in the manufacture of yeast and fermentation products, on Thursday announced the acquisition of the country’s sole manufacturer and distributor of yeast and yeast related products, Anchor Yeast.
The new company that has been emerged post acquisition – Lesaffre Zimbabwe – will be jointly owned by Anchor Holdings Private Limited and Lesaffre.
To facilitate this acquisition, Anchor Yeast, established in 1957, filed for insolvency and had all its business assets transferred to the new company, Lesaffre.
The French firm is a family owned and run business founded in the north of France in 1853 and has over 160 years of history and experience in the manufacture of yeast.
Speaking at the signing ceremony that was held at the residence of the Ambassador of France to Zimbabwe, Anchor Yeast’s head of initiatives and growth Mr Michael Nyabadza said it was the responsibility of the private, and not Government, to attract foreign direct investment (FDI).
“This transaction can be used as an example of the types of business partnerships that are possible in Zimbabwe. Forging local expertise and offshore investment to create sustainable partnerships where locals can participate in the growth of the mainstream economy,” said Mr Nyabadza.
Mr Jean-Phillippe Poulin, a representative from Lesaffre, said there was need to make the company a leading yeast manufacturer in SADC and Comesa, while the French Ambassador, Mr Laurent Delahousee, said the French Embassy will continue to encourage more French companies to explore opportunities in Zimbabwe.
Meanwhile, Lesaffre Zimbabwe will spend at least US$14 million capex to enhance production. In additional US$3,5 million will be earmarked for the factory refurbishment next month.
Production at the Gweru plant is expected to double over the next years from the current 6 000 tonnes of yeast.
It is believed that the long-term goal is to generate regional exports.
Online Reporter
Tinaye Agere