Award of Kinyara to RAI Holdings approved
Jul 27, 2006
The Divestiture Reform and Implementation Committee (DRIC) has approved the decision to award Kinyara Sugar Works to RAI Holdings of Kenya after verifying all its submissions.
By Emmy Olaki
The Divestiture Reform and Implementation Committee (DRIC) has approved the decision to award Kinyara Sugar Works to RAI Holdings of Kenya after verifying all its submissions.
“DRIC has approved the decision to award the deal to RAI. Their approval means that we as Privatisation Unit (PU) will go ahead to conclude negotiations with RAI as soon as possible,†Michael Opagi, the director of the PU, said.
The bids were opened last week. RAI could not be declared winner until verification of all its submissions by DRIC. DRIC is a board that approves deals on behalf of the Government.
PU’s spokesman Jim Mugunga said within three months, the two parties will have concluded a concrete deal.
RAI Holdings offered $33.5m (about sh62.3b) emerging as the highest bidder and beating three other firms.
TSB which bid on behalf of Booker Tate, a British management firm that has run Kinyara on behalf of Government for over a decade, bid $27.4m.
The Madhvani Group consortium offered $23.7m.
The other bidder, Olam International of Singapore, was disqualified.
Ends
The Divestiture Reform and Implementation Committee (DRIC) has approved the decision to award Kinyara Sugar Works to RAI Holdings of Kenya after verifying all its submissions.
“DRIC has approved the decision to award the deal to RAI. Their approval means that we as Privatisation Unit (PU) will go ahead to conclude negotiations with RAI as soon as possible,†Michael Opagi, the director of the PU, said.
The bids were opened last week. RAI could not be declared winner until verification of all its submissions by DRIC. DRIC is a board that approves deals on behalf of the Government.
PU’s spokesman Jim Mugunga said within three months, the two parties will have concluded a concrete deal.
RAI Holdings offered $33.5m (about sh62.3b) emerging as the highest bidder and beating three other firms.
TSB which bid on behalf of Booker Tate, a British management firm that has run Kinyara on behalf of Government for over a decade, bid $27.4m.
The Madhvani Group consortium offered $23.7m.
The other bidder, Olam International of Singapore, was disqualified.
Ends