Edita Food Industries
Everyone loves a snack
Think sweet or savoury croissants, cakes, baked wheat rusks, indulgent sweets, and wafers: even in difficult times, people want affordable and easy-to-eat treats. Couple this with Egypt’s young demographic and the quest for quality products and you understand why the snack food story is compelling. Behaviours and habits are changing fast; where once you might have snapped up a kerb-side snack from a street stall, it’s more likely you will now want a packaged brand name product.
In June 2013, Actis invested $102m into Egyptian snack business, Edita Food Industries. Founded in 1996 by the Berzi family, Edita is now the biggest independent snack food business in North Africa. Edita sells over 3.3bn pieces of croissants, cakes, wafers, baked rusks, and candies a year, with an average price point of around 10 US cents. Molto, Bake Rolz, Twinkies, Hohos and Todo are examples of their much-loved brands. By backing Edita Actis invested behind a world-class management team with an ambitious growth plan to expand the business to keep pace with high demand.
Since Actis invested, Edita has strategically strengthened and successfully diversified its brand portfolio. The business has launched its new headquarters and logistics hub, increased production capacity with a major investment in a new factory, and upgraded its ERP system. In addition, the management have brought corporate governance standards up to international levels.
In April 2015, Actis partially exited from Edita, selling a 15 % stake as part of a heavily oversubscribed IPO through the Egyptian Exchange (EGX) and GDRs on the London Stock Exchange (LSE), representing half of its total stake. The strong interest received for the IPO signals significant appetite from both regional and international blue chip institutional investors.