Leading African private equity firms Alterra Capital backed by Nigerian Billionaire and Africa’s richest man, Aliko Dangote, and Phatisa- an equity firm, have signed agreements to acquire 100% of Java House Africa, from UK’s emerging-market investor Actis, for an undisclosed sum.
A statement released by the two equity firms yesterday notes that the investment marks a significant milestone in Java House’s growth journey, reinforcing its position as a category leader on the continent.
Founded in 1999, Java House has grown into a household name, offering high-quality coffee and a diverse menu to customers across Kenya, Uganda, and Rwanda.
The company operates a network of almost 100 outlets – serving millions of customers annually – through brands including Java House, Java Express, 360 Degrees Pizza, Planet Yoghurt, and Kukito. The Company also operates a vertically integrated commercial kitchen, coffee roastery, foodservice and distribution platform, serving over 5.5 million meals per annum and employing over 2,300 people.
The brand is recognised for pioneering East Africa’s café culture and continues to innovate with locally inspired menu options.
The two firms noted that the strategic investment is underpinned by East Africa’s favourable longer-term macroeconomic trends, such as rapid urbanisation, growing disposable incomes, and shifting consumer preferences towards convenience dining.
Ugandan enterprises urged to explore regional oil and gas opportunities“Java House’s strong market position, proven ability to scale, and focus on operational efficiency present a compelling growth opportunity,” a statement reads in part.
“Java House is a premier brand in East Africa’s casual dining sector. Our investment is focused on unlocking new growth opportunities, expanding market reach, and reinforcing Java House as a leading brand in the region,” Eric Kump, Partner at Alterra commented.
“At Java House, we believe that business growth and social responsibility go hand in hand. This investment will enable us to expand our footprint while continuing to invest in sustainable sourcing and job creation. Our commitment to serving our communities remains steadfast as we look to the future,”Priscilla Gathungu, CEO of Java House noted.
The transaction has received all regulatory approvals with lead advisors to Phatisa and Alterra including, White & Case and ENS Africa (legal), Anjarwalla & Khanna (competition), EY (financial and tax) and ERM (ESG). Lead advisors to Actis and Java House were Flamingo Capital Partners (transaction) and Bowmans (legal and competition).
