At a Glance
- TLG Capital funding helps Kijenge clear debt and restart stalled milling and feed lines.
- CRDB partnership strengthens local-currency reach and supports long-delayed production recovery plans.
- Technical backing aims to boost plant efficiency, cut costs and revive regional market share.
Kijenge Animal Products has received a $15 million financing package from TLG Capital, the private credit firm focused on sub-Saharan Africa, in partnership with CRDB Bank, giving the Arusha-based agro-processor the chance to stabilise its operations after years of strained cash flow and underused production lines.
The deal clears old debt, restores working capital and allows the company to restart milling and feed output that had been running well below capacity.
TLG gives Kijenge lifeline to restart milling in Tanzania
For one of northern Tanzania’s long-standing processors, the funding marks a rare lifeline in a sector where tight credit, volatile grain prices and delayed payments have weakened many mid-sized manufacturers.
Kijenge has worked with external investors before. Nearly a decade ago, private-equity firm Fanisi Capital bought a significant minority stake valued at about $6 million, supporting upgrades to its milling units and poultry operations. But expansion demanded more capital than the business could comfortably generate, leaving it exposed to swings in raw-material costs and inconsistent buyer payments.
TLG, CRDB drive Kijenge’s manufacturing comeback
TLG’s involvement reflects a broader shift in Africa’s manufacturing finance landscape. The London-based investor specialises in supporting companies that local banks may consider too risky or complex. With CRDB providing local-currency reach, the structure blends private credit discipline with the oversight needed to keep production on track.
A key part of the package is technical support from Manufacturing Africa, the UK-funded programme that helps strengthen industrial firms. For Kijenge, this backing covers plant efficiency, inventory systems, quality controls and power management, areas that directly influence costs and output.
Chief Executive Derrick Mollel says the financing will bring idle equipment back online, stabilise supply agreements with farmers and improve the mix of flour and feed products. If the plan holds, Kijenge could reclaim a meaningful share of the northern Tanzania market and compete for institutional supply contracts and cross-border orders.
Founder Andrew Mollel steers Kijenge’s growth
Kijenge, an Arusha-based agro-processor active in animal feed, poultry production and maize flour milling, has long been a fixture in northern Tanzania’s food sector. In 2020, Fanisi Capital, led by managing partners Ayisi Makatiani and Tony Wainaina, bought a minority stake for $6 million, marking the firm’s first investment in the country.
Founded by Andrew Mollel, Kijenge has been working to broaden its product mix and attract growth capital from private equity investors. The latest funding round underscores a wider shift toward blended financing, where private credit, local banks and donor-backed technical support are used to stabilise viable mid-sized processors. If Kijenge delivers on its targets, it could become a model for how Tanzania’s mid-market manufacturers find their way back to financial and operational health.
