DEAL: Ajinomoto’s stake in Promasidor

Author: Lizzie Meager | Published: 16 Dec 2016

Japanese condiment manufacturer Ajinomoto’s acquisition of a 33.33% stake in Promasidor from an Africa-focused private equity fund is an example of a successful exit by a financial investor.

The deal, which saw Tana Africa Capital dispose of its 25% stake in one of the continent’s largest food companies, was preceded by a competitive auction process also involving PepsiCo. The Rose family, which founded Promasidor, sold down a further 8.33% stake. This time they were seeking a strategic partner rather than a financial one.

2016 has been a particularly busy year for South African corporates"A key concern for financial investors, particularly in emerging markets, is the viability of an ultimate exit," said Rob Cant, partner at Freshfields Bruckhaus Deringer in Dubai who advised Ajinomoto. "So this is...