THE CAURIS CROISSANCE II INVESTS IN AFRICA WEST INDUSTRIES (AWI)
Cauris Croissance II, managed by Cauris Management, the West African private equity fund manager, has acquired a stake in Africa West Industries (AWI) to finance its development plan.
The investment of CFAF 3.1 billion (approximately’ 4.8 million) in Cauris Croissance II Funds will enable AWI to significantly improve its supply and expand its offer with the launch of new products.
AWI Company
AWI has been on the market since the end of 2011 and is an Ivorian company specialized in the production of household soap distributed in a dozen West African countries under the brand name Kdo. The company has climbed into the top 3 of the Ivorian soap producers in less than 4 years thanks to the quality of its products.
Commenting on the acquisition of the Cauris Croissance II Fund, Mr. Angora Tano, Chairman and CEO of AWI, said:”The palm sector is of strategic importance at the regional level, where the oilseed deficit is large and growing. It is over one million tons in ECOWAS. Only Côte d’ Ivoire, which has a surplus, can help to close this gap. Palm oil is the only oil capable of sustaining such an ambition because it has impressive potential. Its productivity of 4 tonnes/hectare is far higher than that of all oilseeds; soybeans, for example, have only 0.6 tonnes/hectare. Moreover, palm oil has the best production cost. To take advantage of this advantage, AWI has partnered with Cauris Management to pursue its development by expanding its product line across the value chain and all market segments and diversifying into new related value-added products. AWI will thus be able to continue to offer all consumers products that are always affordable, quality and innovative “.
The regional soap market is expected to maintain its upward trend, driven by increasing urbanization, interesting macroeconomic prospects and demographic strength. After more than three years of rapid growth, the partnership with Cauris Management allows AWI to embark on a second strategic step with vertical integration, diversification of its offer and institutionalization. This partnership also enables the company, with the support of Cauris Management, to answer the questions raised by the processing of palm oil in our countries “, says Thierry Vissého Gnassounou, Associate Director at Cauris Management.