A Dubai investment fund and a Spanish feed manufacturer are working together to distribute animal feed products into new markets in Africa.
Grupo Dibaq Diproteg, one of Spain’s largest and oldest privately owned animal feed producers with its headquarters in Segovia, has reached an exclusive commercial and marketing agreement with Sokotra Capital, the Dubai-based private investment company. This formalises a broader strategic partnership between the two companies, and creates “a powerful distribution capability for leading European animal feeds businesses into frontier markets”.
The new agreement sees Sokotra appointed as the exclusive commercial and marketing agent for Dibaq in countries such as Nigeria, Ghana, Tanzania, Zambia and Mozambique. It will also act as a non-exclusive agent for other countries. The arrangement covers Dibaq’s full portfolio of animal feed products including livestock, aquaculture, camel and horse feeds along with pet food lines.
“Dibaq has grown considerably on a global scale over the last few years, with over 50% of our total sales now originated in over 50 markets across four continents,” notes Carlos Tejedor, president of DIBAQ . “Frontier markets, and Africa in particular, represent a highly exciting next step for us as we take our leading animal feed products to high growth markets.”
“Sokotra Capital brings to us a deep expertise and connectivity in frontier markets as well as a shared philosophy and approach that I believe will help us create a strong, lasting and growing partnership.”
For Sokotra, founder and chief executive Albert Momdjian adds: “This is one of several agreements Sokotra Capital and Dibaq are discussing in order to leverage DIBAQ’s unique capabilities and experience in the animal nutrition business and Sokotra Capital’s expertise and developed network of relationships across frontier markets.
“It is clear that the Tejedor family, through Dibaq, is the best partner for us in the animal feed sector, not only because of the quality of their products, their capabilities and their unrivalled experience, but also because of their history, their reputation and their commitment to the development of a healthy animal food sector.”
Dibaq, established in 1951, already exports to over 30 countries around the world, including South America, India, China, Russia, Vietnam, Egypt and Saudi Arabia.