Kenyan coffee chain Java House is up for sale by London-based Actis to Alterra Capital and Phatisa Group marking its fourth sale in 12 years.
- Alterra will acquire a majority shareholding while Phatisa will assume a minority shareholding with control rights in the acquisition, according to a notice by the COMESA Competition Commission.
- Java House Group has 73 branches in Kenya, Uganda and Rwanda, adding Planet Yogurt in Kenya, Sixty Degrees Pizza in Kenya and Rwanda, Kukito in Kenya and Foodscape Africa.
- The notice did not disclose the terms of the transaction beyond the proposed shareholding structure.
Java House, which was founded by two Americans in Kenya in 1999, was sold to Washington DC-based Emerging Capital Partners (ECP) in 2012. ECP added 47 outlets across Kenya, Uganda and Rwanda. In 2017, Java ws acquired by Dubai-based private equity firm Abraaj Group in a deal reportedly worth over $100 million. Following Abraaj’s liquidation, UK-based private equity firm Actis took ownership of Java House in 2019.
“The parties submitted that the Proposed Transaction would enable the Seller to exit and realise its investment and will enable Alterra and Phatisa to acquire controlling stakes in the Target and promote growth of its business,” COMESA said in the notice.
Actis first expressed its intention to exit the quick restaurant chain in 2023, with options on the table at the time including a potential IPO. The PE-fund itself was at the time being acquired by American firm General Atlantic, a deal which closed in early 2024. It brought Actis’ US$12.5bn in assets under management into the larger General Actis’ pool.
Phatisa Group is a private equity fund founded in 2005 with focus on investments across the food value chain operating in the Democratic Republic of Congo, Kenya, Malawi, Mauritius, Seychelles, and Zambia. Alterra Capital, formed in 2022, has interests in food and beverages, hospitality, retail, telecommunications, technology, financial services, consumer products and services, infrastructure and logistics.
Both Alterra and Phatisa emphasized that there are no overlaps between their businesses and Java House Mauritius, ensuring the deal will not result in reduced competition.
