What’s the deal

A 2017 Deal Space Review.

Kpmg.com/eastafrica
June, 2018
 2017
At a glance
DEAL OF THE YEAR
Dubai-based private equity investor The Abraaj Group
acquires entire equity stake of Kenya’s Java House
Group from Emerging Capital Partners (ECP).

SECTORS WITH MOST DEALS

Average deal size of the year

29 The number of
disclosed PE
deals in EA
$US 130M
NO. OF DEALS PER
COUNTRY
17 13
Financial Services TMT

$US 5.2B
The total value of all disclosed corporate
61
Kenya NUMBER OF EXITS WITHIN THE YEAR
deals in EA

2
 Aureos East Africa Fund LLC exits Deacons East Africa
15 Plc
Over Uganda  Catalyst Principle partners exits Good Life Pharmacy
to LeapFrog investments

50 11
Tanzania
There was a slight decrease in deal activity in a number of the
The number of disclosed
M&A deals in EA 5 regions due to uncertainty about the environment brought about
Rwanda
the general elections that took place in Rwanda and Kenya.
Tax considerations in the
Deal Space
Sealing the value/tax leakage for interposed investment holdcos - How is
1 the KRA responding to the tax leakages especially on exit?
Dealing with residence risks especially those of offshore investment
2 holding companies- Vacation/Board Management meeting?

Narrowing the tax planning space – a case for pre-investment structuring

3 to address emerging tax risks around BEPS?

4 IP and Offshoring IP - Where should you house your IP?

Document Classification: KPMG Confidential