DPI backed Dolidol buys Nigeria’s Mouka for $60mn

Morocco-based mattress manufacturer Dolidol has recently acquired Nigeria's Mouka Foam in a strategic transaction valued at $60 million. This acquisition marks a significant move for Dolidol as it expands its footprint in the African market, particularly in the thriving Nigerian mattress industry. The deal was facilitated by Development Partners International (DPI), a prominent private equity investor in Africa with a focus on supporting local champions in various sectors. Jade Del Lero Moreau, Partner at DPI, shed light on the transaction and shared insights on the rationale behind this partnership. DPI's investment strategy revolves around backing local champions with potential for regional or continental expansion. In this case, Dolidol, a dominant player in the Moroccan mattress market, received investment from DPI in 2018 to support its growth ambitions. The synergy between Dolidol and Mouka Foam, one of the leading mattress players in Nigeria with a substantial market share, made this partnership a natural fit. Moreau highlighted that the two companies had prior knowledge of each other, paving the way for discussions and eventual collaboration. With Dolidol's track record of successful expansion into multiple markets outside Morocco, including East Africa and Ivory Coast, the acquisition of Mouka Foam aligns with its growth strategy. By leveraging Dolidol's expertise and resources, Mouka Foam aims to strengthen its position in Nigeria and explore opportunities in neighboring countries. Dolidol's focus on innovation and manufacturing capabilities will empower Mouka Foam to introduce new products, penetrate untapped market segments, and enhance its market share. As DPI recently closed its third fund at $900 million, the organization continues to emphasize investments in sectors such as education, financial services, and healthcare, which have shown resilience during challenging times like the COVID-19 pandemic. The success of DPI's previous investments underscores its commitment to supporting sustainable growth across Africa's diverse industries. Looking ahead, DPI remains dedicated to catalyzing economic development and nurturing local talent in partnership with innovative businesses. In conclusion, the acquisition of Mouka Foam by Dolidol signifies a strategic move to expand market presence and drive growth in the competitive African mattress industry. By harnessing synergies between the two companies and leveraging DPI's investment expertise, this partnership is poised to unlock new opportunities and propel both entities towards becoming regional champions in the dynamic African market.