Private equity firm Catalyst buys stake in Mimosa Pharmacy

Posted on : Friday, 31st October 2014

Private equity firm Catalyst Principal Partners has bought a stake in Mimosa Pharmacy, a retail drugs store chain, in the first local investment by the investor.

Catalyst said it made the investment jointly with Africa Chemist and Beauty Care (ACBC), a Mauritius-based pharmaceutical chain. The deal amount was not disclosed but a typical investment ranges between $5 million (Sh444 million) and $20 million (Sh1.78 billion). The private equity firm, however, said the stake is a mix of equity and debt.

Catalyst said its latest investment is meant to get it into the booming healthcare market, which has been rapidly expanding for more than a decade. Mimosa becomes the second pharmacy chain to get a private equity investment over the past 12 months.

Last September, Fanisi Capital bought a stake in local pharmacy retail chain Haltons for an undisclosed amount.