April 1, 2024

By Lynda Kiernan-Stone, Global AgInvesting Media

Invictus Investment Company announced it has acquired a majority 60 percent stake in Graderco and its subsidiaries from Zalar Holding as part of its long-term strategy to expand geographically into key African markets, forge new strategic partnerships, and acquire specialized knowledge and operational capabilities in downstream segments. 

Launched in March 2022 in Dubai, Invictus Investment is a leading agro-food enterprise in the Middle East, Africa, and Asia (MENA) with a focus on commodities. Today, the company has a diverse portfolio of products including barley, corn, cotton, DDGs, fertilizers, groundnuts, meat, sesame, soy, soya bean hulls, soy meal, sugar, vegetable oil, wheat, and wheat flour. 

Last year, Invictus Investment expanded into Morocco and other new markets including Tanzania, Mozambique, Turkey, Malawi, Burundi, and Twanda, and increased its commodity transaction volumes in Algiers and Egypt – two of its existing markets. 

With operations now spanning 70 countries and a broad downstream sourcing network, the company stated it is focused on exploring further acquisition opportunities with the goal of becoming a vertically integrated agro-food leader in the MENA and Asian trading sectors. 

With 2023 financial results of AED 8.1 billion (US$2.2 billion) in revenue and 5.37 million metric tons on transaction volumes, the acquisition of Graderco will add significant scale and generate notable synergies, resulting in approximately 20 percent growth in consolidated revenues for Invictus Investment over the nine-month post acquisition period in 2024. 

Graderco is one of the leading grain and cereal trading firms in Morocco with imported, stored, and traded volumes of grains and grain derivatives for both human and animal feed running from 2.5-3 million metric tons per year (accounting for over 25 percent of the country’s imports) and more than AED 1.5 billion (US$410 million) in revenues posted for 2023.

The move to acquire Graderco focuses on product categories that are of strategic importance for the development of Invictus Investment’s brand portfolio and its longer-term evolutionary goals for the company. 

“Morocco is a strategic market for Invictus Investment, and this acquisition gives us a strong local presence and a partnership with a recognised market leader, and is a key step in our long-term strategy to become a fully integrated agro-food enterprise,” said Amir Daoud Abdellatif, CEO, Invictus Investment.

“Graderco’s diverse product portfolio, robust sourcing network, and extensive in-country warehousing and distribution capabilities will generate significant synergies with our global trading operations. Looking ahead, we will continue to invest in downstream assets in the value chain – in Morocco and beyond – to enhance our supply chain capabilities and better serve our customers in the region.”

Invictus Investment explained that moving forward, Graderco will have access to its extensive global network, trading expertise, and risk management capabilities – all of which will support its growth and development. This partnership will enable Graderco to expand its product offerings, strengthen its supply chain, and leverage Invictus’ financial resources to scale its operations.

Together, the two companies will work to enhance Graderco’s market position and deliver strategic value for shareholders in Morocco and beyond. 

“We are pleased to welcome Invictus Investment as our partner – their wealth of experience and global relationships will accelerate Graderco’s growth and strengthen our position as Morocco’s top agro-commodities trading company,” said Driss Chaouni, CEO, Zalar Holding.

“Together, we look forward to capitalizing on Graderco’s long history as a grain importer operating out of four Moroccan ports and six terminals distributed across the country. This transaction will build on the strong growth prospects in the region and deliver greater value to our stakeholders.”

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and Agtech Intel News. She can be reached at lkiernan-stone@globalaginvesting.com.

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