Spear Capital in Zimbabwe deal

Private equity firm Spear Capital has concluded an investment deal with Greenwave Milling, a manufacturer and distributor of high-value basic commodities throughout Zimbabwe. The transaction was made via one of Spear Capital’s subsidiaries, Superior Food Group Africa Ltd.

Previously part of the Metro Group, which is already a Spear Capital investee, Greenwave Milling is now a standalone production unit for the group. It manufactures, packages, and distributes a number of basic commodities including roller meal, refined meal, rice, cooking oil, flour, beans, salt, sugar, kapenta (a regional type of dried sardine), soya chunks, and other household essentials.

Under the terms of the deal, Spear Capital via its subsidiary Superior Foods, has provided Greenwave Milling with a substantial debt facility. The funding will be used to purchase raw materials for milling and down packing and to ensure that it is able to meet growing demand for the GreenWave range of products.

“Having been part of the Metro Group success story in Zimbabwe for several years now, we know how much intellectual capital there is in the business,” says Spear Capital managing partner, Martin Soderberg. “When some of that capital was used to launch Greenwave Milling as a standalone business, it only made sense to back it too.”