Industrie des Boissons du Sénégal (IBS), which sells energy drink Black Power and also distributes other labels including Coca-Cola, is working on an expansion project worth €14 million ($16.3 million).
The company is working on a project in the city of Diamniadio, outside capital Dakar’s city centre. The project involves expanding production capacity and implementing a packaging recycling programme.
The project will be spread over an area of 52,000 square metre in Diamniadio. It will generate 130 direct jobs and expand its local distribution and storage facilities to support small shops and kiosks.
International Finance Corporation (IFC), the private-sector investment arm of the World Bank, is likely to invest in the still and carbonated soft drinks processing company. IFC is looking to lend up to €9 million as part of the €14 million project.
Apart from investing in the project, IBS will also use the IFC funding to meet its working capital requirements.
IBS is an existing IFC client in Senegal. It is majority-owned by the El Sahili family through SIFAKA. The founder, Kassim El Sahili, is joined by his two sons, Rouda and Mohamed, in managing the business.
The business was created in 2012 and roped in Coca-Cola as a key client in 2015. The global beverage giant initially started with its flagship brand besides Fanta and Sprite. It later added more labels in its partnership with IBS such as Schweppes and Minute Maid.
Some other beverage sector deals this year in the continent include Sierra Leone’s Capitol Foods raising $1 million from impact investors Cordaid Investment Management and Triodos-Hivos Fund.
In another deal, a Sierra Leone-based venture of Indian-origin businessmen Kishore Parwani and Atul Nijhawan, Kings Beverages Pvt Ltd, attracted $5 million debt funding from IFC.