Private Equity firm Leapfrog Investments has acquired a controlling stake at regional beauty and drugstore Goodlife Pharmacy.
Leapfrog said Wednesday that it paid Sh2.2 billion to buy out the entire stake held by PE firm Catalyst Fund.
Leapfrog’s move is indicative of the firm’s growing interest in East Africa where it recently bought a majority stake in insurance provider Resolution Health.
The company said in a statement that it plans to open more pharmacy outlets in Kenya and Uganda where Goodlife currently operates 19 stores.
The pharmacy chain, previously known as Mimosa before it rebranded to Goodlife, provides health, personal care and beauty care products across all their branches where they have also incorporated consultation services as part of their offering.
Last year, the International Finance Corporation (IFC) injected Sh405 million to facilitate Goodlife’s expansion from the initial six to the current nineteen stores in Kenya and Uganda.
Commenting on the buyout, the IFC’s Health and Education officer Biju Mohandas said they were committed to working with the new investor, management and other shareholders in growing the business.
The exit by Catalyst from Goodlife is the first it has made under the PE firm’s inaugural fund, Catalyst Fund I.