Tana Africa Capital Takes Stake in Moroccan Red Fruits Business Palmagri
To the tune of 200 million dirhams (18.5 million euros), Palmagri welcomes Tana Africa Capital in its round table to afford the means to develop its red fruit sector.
The Berrada family seems to be more receptive to receiving investment funds in its roundtable than other family groups in the kingdom. After the deal concluded last October with Development Partners International (DPI), an African private equity fund based in London, which acquired 20% of Dolidol, mattress specialist, for 300 million dirhams (27.7 million euros ), a new subsidiary of Palmeraie holding has just trusted a foreign investor.
It is Tana Africa Capital (TANA), a pan-African investment holding company stemming from the joint venture between the South African family office Mary Oppenheimer Daughters and Singaporean Temasek Holdings. For MAD 200 million, these capital investors have offered themselves a minority stake in the Palmagri subsidiary, which is itself a subsidiary of Palmeraie Holding.
Red fruits as a development axis
The agreement was concluded under the benevolent eye of Deloitte and Dentons, who advised the investment fund. On the Moroccan side, it took the assistance of West Capital Partners and Sayarh & Menjra, to whom the Berrada family entrusted the file for the financial and legal aspects. The main goal of Tana Africa Capital’s arrival is to accelerate the development of the red fruits business.
“This partnership with TANA will enable Palmagri to strengthen its position as the leading Moroccan operator in this sector, to further exploit its strong growth potential in the red fruits sector and to rapidly execute its growth strategy both in the production only in distribution, “Saad Berrada Sounni, president of Palmeraie Holding, said in a statement.
Palmagri, a progressive boom
Founded in 2013, Palmagri is the agro-industrial branch that holds assets in different regions of Morocco through tree farms of red fruits, date palms and rosaceae. At the beginning of the adventure, she focused on developing the strategy and building up her land reserve.
This subsidiary of the holding of Berrada will have absorbed since its creation and until 2020 nearly 1,2 billion dirhams, and this in particular to acquire more than 3,000 hectares of grounds. Starting in 2015, Palmagri started exporting, particularly to Europe, and hopes to reach other markets, particularly in Asia, thanks to the funds injected by Tana Africa Capital. Source: Jeune Afrique