Zimbabwe’s Pizza Inn owner buys out Kenya delivery arm for $664,000
Pizza Inn owner has bought out the minority shareholder in Kutuma Kenya, the delivery company for its fast-food chains.
Zimbabwean fast-food chain Simbisa Brands has acquired the minority stake in Kutuma Kenya, the delivery arm for Simbisa's local restaurants, for $664,000. The acquisition makes Simbisa the sole owner of Kutuma, which operates Dial a Delivery, Yum, and Swyft services. In Kenya, home deliveries now account for over a quarter of the group's turnover, with Simbisa completing 3.23 million deliveries in the year to June, a 59% increase from the previous year.
The net value of goods sold through delivery now makes up 27.4% of Kenyan turnover, up from 21.7% the prior year. Simbisa aims to expand its marketplace by leveraging its delivery network for other merchants. The acquisition comes as delivery orders are growing faster than overall customer volumes in Kenya, with Simbisa relying on pricing and promotions to stay competitive amidst tightening household budgets.
Overall, Simbisa intends to continue investing in delivery and digital ordering services, expecting sufficient returns on this strategy.
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