Kim-Fay, a prominent manufacturer and distributor of hygiene, tissue, and home care products in East Africa, has secured significant funding from the Norwegian Investment Fund for Developing Countries (Norfund) and I&M Bank. This funding will support the construction of a new facility at Tatu City, a 5,000-acre mixed-use Special Economic Zone located near Nairobi.
Funding to Drive Business Expansion and Sustainability
The financing from Norfund and I&M Bank will facilitate Kim-Fay’s business expansion, focusing on producing affordable tissue paper targeted at lower-income market segments. The funds will specifically be directed towards constructing a new recycled paper manufacturing facility at Tatu City, which will utilize locally sourced wastepaper. This facility is expected to be operational by 2025.
“This investment comes at a crucial time as the demand for tissue and hygiene products continues to grow in Kenya and the wider East-Africa region,” stated Raj Bains, Chief Executive Officer at Kim-Fay. “Our new facility at Tatu City will enable us to meet this demand more efficiently while supporting our sustainability commitment through recycled materials. We thank Norfund and I&M Bank for their support in this venture.”
Strategic Partnership with Tatu City
David Karimi, Deputy Country Head and Head of Sales at Tatu City, expressed enthusiasm about the partnership with Kim-Fay. “We are thrilled to welcome Kim-Fay to Tatu City. This partnership not only strengthens Tatu City’s position as a premier investment destination but also aligns with our mission to foster economic growth and sustainable development. The collaboration with Norfund and I&M Bank underscores Tatu City’s attractiveness to world-class enterprises which contribute to Kenya’s economic growth.”
Kim-Fay holds a license in Kenya to manufacture, market, and distribute products for Kimberly-Clark, the world’s leading producer of consumer tissue, known for its globally recognized brands such as Kleenex, Kotex, and Huggies. Additionally, Kim-Fay distributes Unilever’s Dove and Lux brands in the region and has recently signed a distribution agreement with Dabur Limited, an Indian multinational consumer goods company known for its Ayurvedic products.
Commitment to Sustainable Development
The investment from Norfund and I&M Bank aligns with Norfund’s mission to support sustainable enterprises, create job opportunities, and improve lives in developing economies. William Nyaoke, East Africa Director at Norfund, remarked, “We are excited about this partnership with I&M Bank to finance Kim-Fay’s expansion and the development of a state-of-the-art wastepaper recycling facility at Tatu City. This project is a testament to our commitment to fostering sustainable business practices and economic growth in the region.”
Edward Burbidge, Chief Executive Officer at I&M Burbidge Capital, added, “We are pleased to have advised Kim-Fay on its debt capital raise and are delighted to have managed the process to secure high-profile, long-term financing partners for the Tatu City tissue manufacturing facility.”
Kim-Fay’s Strategic Position in the Market
Kim-Fay’s diverse product range includes baby care, feminine hygiene, and personal care products, which serve markets in Kenya, Uganda, Tanzania, and Rwanda. The company’s strategic focus on affordability and sustainability positions it well to meet the increasing demand for hygiene products, driven by a growing middle class and heightened consumer awareness of hygiene practices.
Tatu City: A Hub for Global and Regional Businesses
Tatu City SEZ is home to over 80 local, regional, and global businesses, either operational or under development. These include well-known companies such as CCI Global, Heineken, Dormans, Kärcher, Cooper K-Brands, Grit Real Estate Income Group, Twiga Foods, Freight Forwarders Solutions, ADvTECH, Friendship Group, and Davis & Shirtliff.
Businesses at Tatu City benefit from numerous incentives, including VAT zero-rating, import and stamp duty exemptions, and reduced corporate tax rates—10% for the first 10 years and 15% for the subsequent 10 years.
Tatu City is a 5,000-acre new city located on Nairobi’s doorstep, featuring homes, schools, businesses, a shopping district, medical clinic, nature areas, and recreational facilities for more than 250,000 residents and tens of thousands of day visitors. With schools educating thousands of students daily, a range of housing options for various income levels, and more than 80 thriving businesses, Tatu City is Kenya’s first operational Special Economic Zone. Located just 30 minutes from Westlands, Tatu City offers a new way of living and working in an environment free from traffic congestion and long-distance commuting.
Tatu City is a development by Rendeavour, Africa’s largest new city builder, with visionary projects spanning 30,000 acres across Ghana, Nigeria, Kenya, Zambia, and the Democratic Republic of Congo.
