Zimpapers Logo

Dendairy has invested heavily in its factory and grown its raw milk supply since its establishment in 2004

Tinashe Makichi Business Reporter
SPEAR Capital (Pvt) Ltd has acquired a 27 percent stake in Dendairy (Pvt) Limited, the country’s second largest dairy producer in a combined debt and equity transaction valued at $6 million.Spear Capital partner Mr Christian Victor Bernau in a statement said Dendairy has a unique footprint in Zimbabwe and is well positioned for growth.

“Dendairy’s unique footprint in Zimbabwe is well positioned for growth in Zimbabwe and we are targeting export markets within the region. There is growing demand for dairy products and the improvement in the political and economic environment are reasons that will provide numerous scalable growth opportunities for Dendairy,” said Mr Bernau.

Dendairy has invested heavily in its factory and grown its raw milk supply since its establishment in 2004, the company has continued to experience exceptional market penetration and growth within the Zimbabwean market, and has recently expanded its footprint to include Mozambique and Zambia. Dendairy currently produces Maas (fermented milk), UHT Milk, UHT Flavored Milk, Yogurts, Ice Cream, and Fruit Juices.

“As a firm that invests in exceptional managerial talent in growth sector industries, Dendairy optimises the types of opportunities Spear Capital strives to unearth.” Mr Bernau said.

Spear Capital’s stake could rise to 30 percent if built in performance measures are met, while this investment marks Spear Capital’s second investment in the Zimbabwe market in the last 12 months.

Spear Capital is a pioneering Scandinavian backed Sub-Saharan Africa focused private equity Investment Company seeking to invest in businesses that are positioned to benefit from the continued economic growth in Sub-Saharan African countries.