Blog Archive

Tuesday, February 26, 2008

Another deal down the crapper...

Do the politicians - esp on PNU ones - understand the cost of their intransigence to Kenya?

Parmalat was in talks to invest in or acquire Spin Knit dairy but they are backing out of the transaction.

New KCC - #1 is government owned & controlled. The top management is often perceived to be close to PNU by virtue of their ethnicity.
Brookside - #2 is owned by the kenyatta family. No prizes to guess where their political loyalties lie.

So these entities have averted - by chance & not design - the entrance of a major player into the market. Parmalat has substantial experience in & developed markets. Of course, the losers - as always - are Kenyans who need competition as well as additional investments in the marketplace.