adminUS$2,5 million-US$3 million will help Agricom expand its processing capacity, increase the number of retail outlets and provide working capital to recapitalise.
“We are convinced we can support Agricom’s expansion and development by providing it with access to growth capital and management resources,” said Mr Mungoni in a Press statement yesterday.
The investment is the first under Takura’s US$50 million fund targeting investments of up to US$5 million, through equity and long-term debt instruments.
Mr Mungoni said they were excited to invest in Agricom, a company which empowers small-scale farmers by providing them with ready markets.
Agricom managing director Mr Socky Kapnias welcomed the investment by Takura Capital.
“Takura Capital has extensive experience of working in partnership with management teams and supporting the growth of leading companies and, therefore, it is the right partner to take Agricom to the next level,” he said.
Agricom supplies pre-packed sugar beans, groundnuts, sunflower, kapenta, madora and small grains such as millet, sorghum and rapoko.
These are sourced from small-scale farmers and supplied to food processors, wholesalers and retailers under its Savonuts brand for selected products.
In line with its growth strategy, Agricom will soon be adding value to some of its products to maximise on margins and increase consumer variety.
The management says the expansion in the product offering would include cold-chain white protein products, such as pork, chicken and fish.
The Commonwealth Development Corporation, a number of European Development Finance Institutions and local financial institutions established Takura in 1997.
Its main focus was to invest in Zimbabwe. But now under the new ownership of African Century Group, Old Mutual Life Assurance Company Zimbabwe and Daidex Investments, the company has now evolved into the pre-eminent Zimbabwean-focused private equity firm, which invests in other Southern African countries.
Online Reporter