Société BIC trudges on in Kirubi franchise buyout payment
French corporation Société BIC advanced the payment progress bar in servicing the price tag of acquiring the BIC franchise from late tycoon Chris Kirubi’s Haco industries.
The company revealed that it remitted €2.3 million (Kes273 million) to Haco East Africa Ltd towards the end of last year; with the amount paid to Kirubi’s family totaling to €13.7 million (Kes1.6 billion).
The French multinational inked a deal to take over BIC from Haco in 2018 with the payment spread over several years.
From 2018 through 2022, the French company has made payments between two and three million Euros with each deposition, save for the initial €6.3 million installment.
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The recent €2.3 million installment brings Société BIC into the remittance home stretch since there’s only €2.5 million (Kes298 million) due to the FMCG maker.
The protracted payments have seen the recipient benefit from the gradual depreciation of the Kenyan Shilling, which has shed around eight units against the Euro since 2018.
The late business magnate Chris Kirubi is said to have pocketed over Kes600 million from the deal with the French conglomerate, although he lost the lucrative venture of distributing stationery, lighters, and shavers in the East Africa Community market region.
Relinquishing the BIC division left Haco to major in the hair and home care value chains with brands such as Miadi and Sosoft.