Nairobi — Manufacturer and distributor of hygiene, tissue, and home care products, Kim-Fay has secured funding to open a new production line at Tatu City in Kiambu County.
The boost comes from the Norwegian Investment Fund for Developing Countries (Norfund) and I&M Bank.
In the deal, Norfund will support Kim-Fay business expansion with a focus on affordable tissue paper for lower-income market segments.
Kim-Fay plans to lower product cost by opening a new recycled paper manufacturing facility using locally sourced wastepaper.
"This investment comes at a crucial time as the demand for tissue and hygiene products continues to grow in Kenya and the wider East-Africa region," Kim-Fay Chief Executive Officer Raj Bains said.
"Our new facility at Tatu City will enable us to meet this demand more efficiently while supporting our sustainability commitment through recycled materials. We thank Norfund and I&M Bank for their support in this venture."
Kim-Fay is licensed in Kenya to manufacture, market, and distribute products for Kimberly-Clark, an American-based producer of consumer tissue with global brands such as Kleenex, Kotex, and Huggies.
The company also distributes Unilever's Dove and Lux brands in the region.
It recently signed a distribution agreement with Dabur Limited, an Indian multinational consumer goods company known for its Ayurvedic products.
"We are thrilled to welcome Kim-Fay to Tatu City. This partnership not only strengthens Tatu City's position as a premier investment destination but also aligns with our mission to foster economic growth and sustainable development," Tatu City Deputy Country Head and Head of Sales David Karimi stated.
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"The collaboration with Norfund and I&M Bank underscores Tatu City's attractiveness to world-class enterprises which contribute to Kenya's economic growth."
More than 80 local, regional, and global businesses are operational or under development in Tatu City's business-friendly location, including CCI Global, Heineken, Dormans, and Kärcher.
Others are Cooper K-Brands, Grit Real Estate Income Group, Twiga Foods, Freight Forwarders Solutions, ADvTECH, Friendship Group, and Davis & Shirtliff.
Business benefits at Tatu City special economic zone (SEZ) include VAT zero-rating, import and stamp duty exemptions, and 10 percent corporate tax for the first 10 years and 15 percent for 10 years thereafter.
"We are excited about this partnership with I&M Bank to finance Kim-Fay's expansion and the development of a state-of-the-art wastepaper recycling facility at Tatu City," Norfund East Africa Director William Nyaoke added.
"This project is a testament to our commitment to fostering sustainable business practices and economic growth in the region."
