Kenyan farmers and pastoralists living in remote, underserved areas will now have better access to quality inputs and services thanks to a new investment into Sidai Africa Ltd., a company providing last-mile delivery services. With $2.25 million in capital, raised with USAID Hub support, Sidai plans to expand its distribution network and launch new animal nutrition products which will build farmers’ profits and resiliency, strengthening an important segment of the Kenyan economy.
Sidai secured an equity investment from Devenish, a global agri-technology company. The USAID Hub supported the deal by providing an investment opportunity validation through financial modeling and business plan refinement. This information built Devenish’s confidence in the investment, leading to the close of the transaction.
"It is great news that a company with Devenish’s international reputation and experience is investing in Kenya’s agriculture sector. I am delighted that Devenish has shown such confidence is Sidai’s business model and shares the company’s mission to enable the farming community in Kenya to produce food in a predictable and profitable way," said Anthony Wainaina, Sidai’s Managing Director.
The new partnership is set to strengthen Sidai’s animal nutrition business. Devenish specializes in animal nutrition, supporting the research, development and manufacturing of specialty products and solutions. Sidai will leverage its network to distribute Devenish’s cutting-edge products and innovations to farmers across Kenya and train them on how to use the products. Farmers will then be better equipped to keep their herds healthy. With healthier cows, Kenyan farmers will have more reliable and higher incomes. The herds will also support greater employment and nutrition among the communities, laying a foundation for more prosperous and self-sufficient rural populations.
Since its inception in 2014, the Hub has helped close $171.4 million of investment transactions. These transactions support new employment, greater access to finance, food security, stronger value chains and intra-regional trade, contributing to the region’s economic development.