East Africa Foods raises about $40 million, including a $26 million Series B, to expand into Kenya

East Africa Foods, the Tanzanian food supply chain company founded by Elia Timotheo, has raised a financing package of about $40 million to expand its infrastructure and move into Kenya, TechMoran reported on 9 October.

The package includes a $26 million Series B equity round led by InfraCo Africa, part of the Private Infrastructure Development Group (PIDG). Dutch development bank FMO and impact investor Oikocredit joined as new investors, and existing shareholders Acumen Resilient Agriculture Fund, Goodwell Investments, Africa Eats and FINCA also invested again. The Schmidt Family Foundation provided debt financing, the size of which was not disclosed.

The company buys directly from more than 28,000 registered smallholder farmers and supplies more than 10,000 urban retailers, using a fleet of more than 100 trucks. Its consumer brands include Onja, Golden Banana, Onion King and Potato King. It says it has cut food losses across its own network by a third.

The money will go into new collection and fulfilment centres, processing facilities and long-haul trucks, as well as digital tools for sourcing, inventory and route planning. East Africa Foods plans to deepen its operations in Tanzania and enter Kenya, and aims to work with 100,000 smallholder farmers over the next few years.