Emerging Capital Partners increases stake in cleaning products company
Emerging Capital Partners (ECP), a pan-African private equity firm, announced on 3 February 2021 that it had crossed a capital threshold of 5% in the Tunisian group Société d’Articles Hygiéniques (SAH), better known as the brand Lilas, a Tunisian champion of hygiene and cleaning products.
The partnership between ECP and SAH Lilas began in 2008, when the company created by Jalila Mezni and Mounir El Jaiez opened its share capital to ECP up to 48.99%. The year 2013 marked the IPO of SAH Lilas – then the biggest since the creation of the Tunis market – and the exit of ECP, which was the first for a financial investor via the BVMT.
Today, the shared history of the two companies continues: ECP’s 5% capital stake in a company like SAH Lilas makes it more dynamic than ever. Indeed, the company achieved a remarkable commercial performance last year, despite the exceptional circumstances linked to the Covid-19 crisis: its cumulative turnover was 470.4 million dinars as of 30 September 2020, an increase of 17.3% compared to 2019. ECP thus intends to continue to buy shares in the company in order to extend its influence within the board of directors in order to ultimately accelerate the group’s further penetration into little exploited markets, especially Algeria and Morocco, and promote its expansion into sub-Saharan markets.
Vincent Le Guennou, founder and co-CEO of ECP declared, “Its historical performance, its industrial experience and its regional expertise, have pulled together ECP’s founders and other stakeholders to join forces to confront this Covid-19 pandemic period. ECP’s goal is to support the value creation of SAH on the African continent.”
Alongside ECP, SAH Lilas had already increased its production capacity, brought new products to market, while exporting beyond Tunisia. The company currently has eight subsidiaries based in six African countries (Tunisia, Algeria, Libya, Morocco, Côte d’Ivoire, Senegal).
Nayel Georges Vidal, managing director at ECP said, “SAH’s industrial and commercial expertise in the sector sets it apart from its competitors, and we seek to support proven business models and outstanding founders like Jalila Mezni and Mounir El Jaiez. We wish to promote the emergence of regional champions and contribute to their pan-African success.”
Jalila Mezni added, “I am delighted to welcome ECP back into the shareholding of SAH and to capitalise on our excellent long-standing relationship that I built with its founders and teams between 2008 and 2013. ECP is an investor of choice to guarantee the value creation of SAH.”
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