Browns Investments has acquired all tea estates owned by Lipton Teas and Infusions Kenya, pending clearance from regulatory standards.
The Sri Lankan company has also taken over other Lipton’s subsidiaries in Rwanda and Tanzania.
Bomet and Kericho communities, where the tea estates are located, will be given a 15 percent stake in the newly bought company as part of the deal.
In a statement, the new owner announced that it would jointly create a Community Welfare Trust with an initial Kes 1 billion investment to address other challenges facing local communities.
“LIPTON Teas and Infusions has agreed terms of a partnership which will result in the transfer of its tea estates in Kenya, Rwanda, and Tanzania to Browns Investments alongside an agreement that all tea sold by Browns worldwide will be grown and harvested to a new set of standards covering quality, social and environmental protections.”
Did you read this?
Lipton Kenya Estates comprises 11 plantations and eight factories distributed across Bomet, Kericho, and Kiambu counties.
This comes barely a few years after Lipton Tea’s assets were acquired by the European private equity firm CVC Capital Partners from Unilever more than three years ago.
On his part, Lipton Teas and Infusions Chief Executive Officer (CEO) Nathalie Roos stated that Browns is the perfect partner, with the credibility, capabilities and scale, to work with us to raise standards in the whole tea industry.
“The team’s commitment to sustainability and community development aligns with our own. Together, we are setting a new precedent for transforming the global tea market-one cup at a time.”
