New Delhi, July 16 -- Salt Capital, an independent private equity fund manager that invests in Sub-Saharan Africa, is buying a controlling stake in a Johannesburg-based company that specialises in providing dispense and refrigeration services to the food and beverage industries in the continent, VCCircle has learnt.
The London-headquartered PE firm is investing in Dispense Logic Group through the acquisition of a 65% stake in two entities-South Africa-registered EOEC Group and its Mauritius-registered holding company Dispense Logic. The deal, which is subject to regulatory approvals, includes the transfer of certain shareholder loans, VCCircle has learnt.
The deal will provide an exit to another South Africa boutique fund manager, PAPE Fund Managers, that invested in Dispense Logic through its PAPE Fund 3. PAPE had acquired a 45% stake in the group in 2020.
At that time, PAPE said the investment would support the group's expansion across Africa and strengthen its position in beverage dispensing and refrigeration solutions.
It is unclear if PAPE will retain any stake. Queries sent to Salt Capital, PAPE Managers, and Dispense Logic remained unanswered till the time of writing this article.
Dispense Logic designs, installs, supplies and maintains equipment used by beverage and food service companies. These include beer draught systems, soft drink dispensing systems, coffee dispensing equipment, along with commercial refrigeration, and cooling systems. It operates under the 'Liquid Logic' brand.
The business was founded in 1995 and operates in multiple countries including South Africa, Botswana, Eswatini, Ethiopia, Ghana, Lesotho, Malawi, Mozambique, Namibia, Nigeria, Tanzania, Uganda, and Zambia.
EOEC Group operates from Botswana. It provides refrigeration services, draught equipment, spare parts and related services. It also provides head-office functions including finance, human resources and business analytics to the group's operating entities.
Published by HT Digital Content Services with permission from VC Circle.