Table of Contents
Kibo Capital Partners is still in divestment mode, continuing to unwind investments from its last fund as it closes out older positions and returns capital to investors.
Recent transactions show a steady pattern: a portfolio built in the mid 2010s is being converted into cash through staged exits rather than a single dramatic sale. People familiar with the firm’s activity say the firm has been working through multiple holdings across East Africa, with financial services and logistics among the most visible.
One of the notable moves has been the sale of Kibo’s position in I&M Bank Tanzania. The stake dated back to the period when I&M was building a stronger regional footprint, and the exit marks a clean break from a holding that had become relatively mature. Market disclosures in past years indicated Kibo held a significant minority position, roughly a fifth of the bank at one point, alongside other institutional and local shareholders.
That Tanzania exit followed an earlier sale in Rwanda. Kibo previously disposed of its entire stake in I&M Bank Rwanda, describing it at the time as a full exit for its second fund after investing around the bank’s public listing. The Rwanda sale was framed as a successful closeout, pointing to growth initiatives during the holding period and an improved operating platform.
Beyond banking, Kibo has also been trimming exposure to the real economy. In Kenya, it sold its interest in General Cargo Group, a logistics and distribution business with roots in Mombasa’s clearing and transport ecosystem, to Velogic, the logistics arm of Rogers Group. Velogic was already the majority shareholder, so the deal functioned less like a takeover and more like a consolidation of ownership.
Kibo’s approach has long focused on growth stage businesses rather than large buyouts, with deal sizes typically tailored to small and mid market companies. That strategy can produce strong outcomes, but it also means exits can take time, especially in markets where strategic buyers are selective and capital markets are shallow.
The backdrop matters. Fundraising has tightened across private equity, and smaller managers focused on single regions have faced a more difficult pitch to secure fresh capital. In that environment, selling down existing positions and returning money can become the main priority, both to meet fund obligations and to keep investor confidence intact.
Kibo’s latest wave of exits underlines a simple truth about private equity in Africa: the real work often happens at the end. Turning assets into cash can be slower than making the original investment, and the best managers are judged as much by how they exit as by how they enter.
The firm’s divestment run is likely to continue, deal by deal, as it closes out remaining holdings and decides what its next chapter will look like in a changed market.
