Investec Principal Investments sells stake in South Africa's Sunpac
Sunpac is a distributor of a portfolio of international beauty, cosmetic, personal care and baby care brands.
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Investec Principal Investments, together with fellow shareholders, have completed the disposal of a combined majority stake in Sunpac to JSE-listed CA Sales Holdings (CA&S).
Sunpac is a South African distributor and turnkey route-to-market partner to a portfolio of international beauty, cosmetic, personal care and baby care brands. The company provides end-to-end category management services to major national retailers, including regulatory compliance, warehousing and logistics, sales, marketing and in-store execution in the personal care category.
“The company and its founder are long-standing clients – for over a decade Investec has delivered an array of services to Sunpac in support of its operations, including debt funding, supply chain and trade finance, hedging, and forex services,” explained Nicholas Stretch from Investec Principal Investments.
When Sunpac’s former controlling shareholder sought to sell its stake in 2021, family office Morris Orlin approached Investec with the opportunity to invest in the business. Together they bought a minority interest and subsequently increased their shareholding over a two-year period.
In order to facilitate Sunpac’s expansion of its portfolio and the scaling of its business, Investec subsequently financed two strategic acquisitions by the company – Sela and Techniblock – thereby reinforcing the distributor’s position in the local health and beauty sector.
“Sunpac brings a specialised sourcing and brand-management capability that complements the CA&S portfolio of businesses and strengthens our exposure to growing FMCG segments. With its strong management team, aligned co-shareholders and proven execution capability, we are confident Sunpac will help scale clients’ brands across borders while supporting our continued focus on disciplined, long-term value creation,” said Duncan Lewis, CA&S group CEO.
“We invest with a long-term mindset, leveraging Investec’s network, sector insights, and balance-sheet strength to unlock durable value, drive meaningful business evolution and deliver superior risk-adjusted returns. Investment partners include entrepreneurs, founder-led businesses, private equity funds, family offices, investment holding companies, and private companies,” Stretch added.
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