Sri Lanka’s Hemas Holdings PLC has made its first international acquisition, investing $16.2 million to acquire a 75% stake in Kenyan stationery manufacturer Twiga Stationers and Printers Ltd.
The acquisition was made through Hemas subsidiary Atlas Axillia and marks the group’s first overseas acquisition as it seeks to expand its businesses beyond Sri Lanka.
Hemas said the investment provides the group with an operating platform in Kenya, an East African economy with a GDP exceeding $136 billion and a population of more than 54 million.
Twiga has an established presence in Kenya’s stationery sector, with its own manufacturing operations, brands and distribution network.
The acquisition is also expected to create synergies with Atlas Axillia, particularly in stationery, back-to-school products and other education-related consumer segments.
Hemas Group CEO Ashish Chandra described the acquisition as a key step in the company’s international expansion, saying Kenya provides access to a large and growing consumer market as well as opportunities to explore the wider East African region.
Hemas Consumer Brands Managing Director Sabrina Esufally said East Africa and Bangladesh are becoming important parts of the group’s international consumer strategy, with regional markets expected to contribute increasingly to its future growth.
Hemas said it would continue investing in Sri Lanka while expanding its regional operations and building businesses in overseas growth markets. (Newswire)