Comesa gives Platcorp nod for 15pc share capital sale
Thursday, July 22nd, 2021 00:00 | 2 mins read
The Common Market for Eastern and Southern Africa (COMESA) has approved the acquisition of 15 per cent of issued share capital of Platcorp Holdings Limited by Kuramo Africa Opportunity Kenyan Vehicle IV Ltd (Kuramo Holdings).
Comesa has been looking into the planned acquisition since March 11 this year when the parties involved sent a notification of approval for the merger.
The firm which is owned by an intricate web of firms that span the globe has been in the market for a slice of Kenya’s vehicle market for a while now.
In a statement, Comesa’s Committee responsible for Initial Determination (CID) regarding the proposed acquisition said it had approved the transaction saying it was unlikely to affect competition.
“The CID determined that the merger is not likely to substantially prevent or lessen competition in the Common Market or a substantial part of it, nor be contrary to public interest.
The CID further determined that the transaction is unlikely to negatively affect trade between member states,” said Comesa in a statement.
Comesa said third party views collected from Kenya, Ethiopia, Mauritius and Zambia all agree with its position on the matter.
Although registered outside Kenya, both the acquirer and the target have operations in the country.
The acquirer, Kuramo Africa, is a newly incorporated company set up in Cayman Islands in October 2020 and is wholly owned by Kuramo Africa Opportunity Master Co-Investment Vehicle III LLP, which is part of the Kuramo group, a private investment fund.
The affiliates of Kuramo Africa offer various financial products and services such as stock brokerage and pension fund management in Kenya and several other Comesa member states.
The target, Platcorp Holdings, is a private company incorporated in the British Virgin Islands and later registered by continuation in the Republic of Mauritius in December 2012.
Its subsidiaries operate in Kenya and Uganda offering various products including microfinance services and insurance services.