Sri Lanka’s Browns Investments has announced its agreement to acquire Lipton tea companies in Kenya, Tanzania, and Rwanda from their UK and Netherlands-based parent companies. The purchase will be facilitated through UAE-based B Commodities ME FZE, a subsidiary of Browns Investments, as per the sales and purchase agreement (SPA) with Ekaterra Holdco UK Limited and Netherlands-based Ekaterra Group Holdings BV and Ekaterra Group Holdings 2 BV.
Browns Investments will acquire full control of Rwanda-based Lipton Teas and Infusions Rwanda Limited, Tanzania-based Lipton Teas and Infusions Tanzania Limited, 98.56 percent of Kenya-based Lipton Teas and Infusions Kenya Plc, and 51.99 percent of Limura Tea Plc. The acquisition positions Browns as a major player in the global tea industry, with a combined production capacity of 87 million kilograms of tea, making it the largest tea producer worldwide.
With this strategic move, Browns and Lipton Teas and Infusions aim to elevate tea quality and implement sustainable farming practices across their estates in Kenya and Sri Lanka. As part of their commitment to local communities, they plan to allocate 15 percent of shares in the main Kenyan operating company to the communities of Kericho and Bomet, while also establishing a Community Welfare Trust with one billion Kenyan shillings. Kamantha Amarasekera, Chief Executive of Browns Investments, expressed enthusiasm for collaborating with Lipton Teas and Infusions and local partners to foster sustainability and prosperity for all stakeholders involved.