Eos Capital’s Allegrew Fund is making its maiden investment to take a majority stake in Elso Holdings, a Namibian manufacturer of biodegradable, toxic-free cleaning liquids and powders, tissue paper products and cleaning equipment. Additional financial terms of the deal were not disclosed.
Elso is a substantial local manufacturer employing 120 employees at 7 branches across the country providing the company with a significant network to leverage in order to increase sales to wholesalers, retailers, guesthouses, hotels, businesses and Government ministries.
“Our aim is to create rapid growth for the companies we invest in, while due consideration is given to the risks involved in such an investment commented Ekkehard Friedrich, Eos Capital’s CIO who lead the deal for the company.
As part of the deal, Eos gets two board seats, with CEO Nicole Maske taking the Chair and with either Ekkehard Friedrich or Johannes !Gawaxab taking the other seat.
The Allegrew Fund held a first close at N$450 million or approximately $26 million. The firm anticipates holding a final close of N$500 million (or $31 million). The fund focuses on making equity, debt and mezzanine finance investments in fast growing Namibian companies.
Simonis Storm provided Eos Capital with financial due diligence services while Cronje & Co. provided legal services. Law firm ESI Namibia acted on behalf of Elso Holdings in the transaction.