Finlays has agreed a sale of its James Finlay Kenya tea estates business to Brown Investments Plc, a Sri Lankan firm. The deal will also see local communities own a 15 per cent stake through a co-operative.
Finlay Kenya managing director Simeon Hutchinson stated that the deal would be completed in the next few months. Finlays asserted that there would be no change in the employment arrangements of current employees of James Finlay Kenya.
“It (Brown Investments Plc) is one of the largest tea producing companies in Sri Lanka consisting of 49 individual estates that stretch cross an area of 30,000 hectares and employs over 10,000,” Finlays noted in a statement.
Finlays has vast tea estates in Kericho and Bomet counties, which will be transferred to Browns. The deal will however see Finlays retain ownership of the Saosa tea extraction facility, which will be used to source and process green leaves from outgrowers.
“Browns Investments Plc was selected as the preferred buyer because of its strong legacy of guiding its tea estates to continued growth, but also its focus on doing so sustainably while supporting its workforce and local communities,” Finlays explained.
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Finlays promised customers an employees a smooth transition with minimal disruption.
“While the sale process is concluded, operations for James Finlay Kenya will be business as usual, and a full plan is under development to ensure a smooth transition with no customer disruption. On completion of the sale, Browns intends to continue to run the business as it has been operated until now, as a leading global supplier of Kenyan tea, under a new name. There will be no change in employment arrangements for current employees of James Finlay Kenya,” the company stated.
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