FRENCH company Société Industrielle Lesaffre (Lesaffre) and Anchor Yeast Holdings have brought together a total of $17,5 million as capital investment into a yeast business.
BY TARISAI MANDIZHA
The business, Lesaffre Zimbabwe, is a culmination of Lesaffre’s acquisition of a 60% stake in Anchor Yeast (Private) Limited in a deal worth $11,5 million.
Anchor Yeast is the flagship subsidiary of Anchor Holdings Private Limited, a family-owned diversified investment holding company.
Speaking at the Anchor Yeast and Lesaffre’s signing ceremony yesterday, Lesaffre’s overseas baking region president Jean Philippe Poulin said they were excited at the business prospects, envisioning that Lesaffre Zimbabwe would become a leading yeast manufacturer in the Sadc and Comesa regions.
He said Lesaffre and Anchor Holdings were looking forward to playing their part in driving Zimbabwe’s economic revival, growth and development.
“We will invest, in the next month to revamp the yeast plant, more or less $3,5 million and we expect to create new activities for our new product at the end of next year,” Poulin said.
“Capital investment for the company is evaluated at $14 million being brought by the two companies Lesaffre and Anchor Yeast and the $14 million is effective now since the signing ceremony today.”
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Poulin said the nature of the deal was not an acquisition but a joint venture between the two companies, where Anchor Yeast has the product and Lesaffre will bring the knowledge and the cash for investments into the future.
“We are creating a new company in Zimbabwe, we are now very proud to be in partnership with Michael Nyabadza, his family for investing in Zimbabwe yeast activities, not only for Zimbabwe but for the future to export the product,” he said.
Poulin said the company has plans to double the current yeast capacity in the near future and address the issue of equipment and production to stabilise the 6 000 tonnes of yeast produced at the Gweru factory.
He said currently Lesaffre employed 107 people and looked forward to increasing the number in future.
He added that the company was looking at opening a school for bakers in Zimbabwe to provide training services.
“The real thing about Zimbabwe is the knowledge, we know that they are a lot of challenges but I’m surprised by the quality of education, knowledge, and intelligence of the people. Why we want to invest in this part of the world is especially for the quality of the people.”
Speaking at the same event, Anchor Yeast chairperson Nyabadza said the transaction would not have been possible without the dedication of teams from both Lesaffre and Anchor Yeast Holdings and the relentless support from the ministries of Industry and Commerce, Youth Development, Indigenisation and Empowerment and Finance and the French Ambassador to Zimbabwe Laurent Delahousee.
“This transaction can be used as an example of the types of business partnerships that are possible in Zimbabwe. Forging local expertise and offshore investment to create sustainable partnerships where locals can participate in the growth of the mainstream economy,” Nyabadza said.
He added that it was the responsibility of the private sector and not government to attract foreign direct investment.
While commending Lesaffre and Anchor Holdings for concluding the transaction, Delahousee said his embassy would continue to encourage more French companies to explore opportunities in Zimbabwe.
