Kenya: DFC and Finnfund commit $15m to pyrethrum producer

Finnfund and the United States International Development Finance Corporation (DFC) have committed $15 million in equity and debt funding to Kentegra Biotechnology, a pyrethrin producer in Kenya.

Kentegra produces and sells pyrethrin extracted from dried pyrethrum flowers to global insecticide and pesticide manufacturers.

“Kentegra is a company that meets all investor expectations, both in terms of commercial success, sustainability and impact. It has plenty of growth potential in a very interesting upward trending market. The company is also managed by a very talented and professional team, and its operations have significant development impact,” says Johanna Raehalme, head of Finnfund’s Nairobi office.

“DFC’s support for Kentegra will expand the company’s production capacity for a key ingredient in organic pesticide and grow the number of local Kenyan farmers from which Kentegra purchases pyrethrum flowers, focusing on growing its network of women farmers. With DFC’s support, Kentegra will increase the percentage of women farmers it works with, providing these farmers with greater and more predictable income, as well as training to implement best farming practices and financial planning tools,” says James Polan, vice president of DFC’s office of development credit.

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