Phatisa has led $10 million investment in a Sierra-Leone based palm oil milling company Goldtree.
The funding round has been supported by the Finnish Development Finance Institution (Finnfund) and the Goldtree management. The deal values Goldtree at $20million and is Phatisa’s first investment from its African Agricultural Fund (AAF), which reached its first closing at $151million in 2010.
The capital will bolster Goldtree’s plans to build a new mill, as a replacement of its old facility.
“Whilst providing AAF with strong financial returns the investment will have a huge development impact on the immediate community and Sierra Leone as a whole,” said Duncan Owen, managing partner at Phatisa.
Headquartered in Daru, Goldtree processes palm fruit gathered from local growers, which is mainly sold into local market. Goldtree also supports a smallholder and out-grower scheme for its existing 8,000 farmers.
Article by Hamza Ali , Reporter, Private Equity Africa