Deal Summary
Raya Foods, the frozen fruits and vegetables subsidiary of Raya Holding Company for Financial Investments S.A.E (listed on the Egyptian Exchange), has secured a $40 million investment from Helios Investment Partners LLP (Helios), Africa’s largest private equity firm in exchange for a 49% equity stake. This deal, anticipated to close in Q1 2025, includes a $14 million capital increase through new share issuance, a $9 million mezzanine loan with potential for later equity conversion, and a secondary share purchase from existing shareholders. Of the total, $20 million will be allocated toward Raya’s international expansion and the construction of a new 25,000 sqm factory focused on freeze-dried fruits and vegetables, a moisture-removal process ideal for preserving perishable foods.
Terms
- Fund Managers: Helios Investment Partners LLP
- Target Company: Raya Foods
- Investment Amount: $40m
- Fund: Helios Investors III L.P. Fund
- Deal Type: 49% Equity Investment
- Post-money Valuation: $65m
Deal Rationale
Raya aims to grow the company from the country’s second-largest frozen produce exporter to its largest and increase its dollar revenues. This aligns with Helios’ growth strategy, which prioritizes high-potential platform companies in key economic sectors, with a strong emphasis on value-added portfolio operations.
Helios has an established presence in Egypt, with investments totalling $200 million across fintech and agriculture. In 2015, it invested in Fawry, an electronic payments platform that went public in 2019. Following this,
About the Fund Manager
Established in 2004 and headquartered in London, United Kingdom, Helios Investment Partners is a private equity and venture capital firm specialising in buyouts, growth equity, recapitalisation, mezzanine financing, and growth capital for private enterprises. The firm has over $3 billion in assets under management and is led and managed by a predominantly African team based in London, Lagos, Nairobi and Paris. It makes direct foreign investments, either in greenfield or brownfield projects, and also acquires either a majority or blocking-minority stakes in listed entities.
The firm focuses on telecommunications, media, financial services, power, utilities, travel, leisure, distribution, fast-moving consumer goods, logistics, and agro-allied industries. Primarily targeting Africa, Helios strongly emphasises Nigeria, South Africa, and Kenya. The firm typically invests between $15 million and $200 million in individual transactions and prefers to secure a board seat in its portfolio companies. The fund currently manages eleven funds, with four currently raising capital.
