The Abraaj Group’s Acquisition of a majority stake in QBCo S.A.S.


Posse Herrera Ruiz and Gómez-Pinzón Zuleta advised on the deal

The Abraaj Group (“Abraaj” or the “Group”), a leading investor operating in growth markets, today announced that it has acquired, through one of its Funds, a majority stake in QBCo SAS (“QBCo” or the “Company”), the largest private label food manufacturing company in Colombia. Having successfully invested in 20 fast-moving consumer goods (“FMCG”) sector companies across growth markets, Abraaj will use its expertise to expand QBCo’s product categories, support the development of best-in-class service levels, strengthen its retailer relationships, and focus on implementing operational improvements to support QBCo’s expansion across Latin America and the United States.

QBCo was established in 1961 as an oil and fats company by Iván Hoyos, member of a prominent entrepreneurial family in Colombia. In 2013, QBCo reinvented itself as a private label food manufacturing company focusing on four categories: edible oils, margarines, preserves/canned food and pet food. Today, the Company offers more than 55 products to over 150 clients in Colombia, Panamá, Ecuador and the United States. Its production facility, located in Buga, Valle del Cauca, employs around 400 staff. QBCo is certified under international standards of quality with ISO 9001, Kosher and HACCP, and is currently in the process of obtaining an International Featured Standard (IFS) certificate.

The private label industry in Colombia is experiencing rising demand due to an increased penetration of discount retailers, with store numbers expected to triple in five years. According to the Nielsen Global Private Label Report, Colombia ranks as the number one private label developer in Latin America. Given its strategic focus on the private label industry, QBCo is in a strong position to take advantage of market demand.

Posse Herrera Ruiz advised The Abraaj Group with Jaime Cubillos (Picture) and Emilia Arango.

Gómez-Pinzón Zuleta advised Inversiones Concentrados S.A.S. (Invecsa) with Natalia García, Alejandra Eslava and Natalia Velasco.

Involved fees earner: Jaime Cubillos – Posse Herrera Ruiz; Emilia Arango – Posse Herrera Ruiz; Natalia García Arenas – Gómez-Pinzón Zuleta Abogados; Alejandra Eslava Dangond – Gómez-Pinzón Zuleta Abogados; Natalia Velasco Tenorio – Gómez-Pinzón Zuleta Abogados;

Law Firms: Posse Herrera Ruiz; Gómez-Pinzón Zuleta Abogados;

Clients: Abraaj Group; Inversiones Concentrados S.A.S.;

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Author: Ambrogio Visconti.