Media and entertainment group Avusa disclosed on Wednesday that it has sold its Nigerian and Kenyan interests for almost $3,8-million.
The Nigerian interests were sold to Capital Alliance Private Equity, and its Kenyan interests to Silverbird Africa Holdings Limited with effect from the end of September.
Over 18 months ago Avusa launched a turnaround strategy in Nigeria and Kenya. Profitability improved and the combined businesses reported a 35% increase in revenue and a 23% EBIT improvement in the last financial period.
However the businesses remained loss-making and under-capitalised, according to Avusa.
Avusa CEO Prakash Desai said: ”The businesses required a significant further capital injection which could not be supported as the required investment did not match our internal rate of return benchmarks.” – Reuters