Businessman Chris Kirubi. His Haco Industries is set to relinquish its manufacturing and distribution of BiC stationery and personal care products. FILE PHOTO | NMG
Kirubi’s Haco Industries hands over BiC manufacturing to French brand owner
Businessman Chris Kirubi’s Haco Industries is set to relinquish its manufacturing and distribution of BiC stationery and personal care products to French multinational Société BIC which owns the brand.
The amount Haco will be paid in the transaction, expected to be completed by January 1, 2019, was not disclosed.
The deal will bring to an end nearly 40 years of Haco’s BiC franchise.
“My success is Kenya’s success and after nearly forty years of fruitful collaboration with BIC, and having built the business to become Kenya’s number one stationery manufacturer and distributor, this transaction is tangible proof of BIC’s confidence and belief in Kenya and the growth potential of the region,” Mr Kirubi said in a statement.
“Until the completion of the transfer, BiC and Haco will continue to work together for the mutual benefit of all stakeholders and the respective businesses to achieve a smooth transition.”
The deal adds to the emerging trend in retail and fast moving consumer goods sector, where multinationals have squeezed out local franchises by buying them out or forcing them into joint ventures.