London-based private equity firm Actis has finalised a deal to sell Java House, a prominent Kenyan coffee and casual dining chain, to Africa-focused peers Alterra Capital and Phatisa Group.

The transaction, reported by Common Market for Eastern and Southern Africa (COMESA) competition commission, did not disclose the value of the transaction, but Mauritius-based Alterra will hold the majority stake.

This marks Java House’s fourth ownership change since its establishment in 1999. The chain, which operates 73 outlets across Kenya, Uganda, and Rwanda, is a key player in East Africa’s fast-growing coffee and casual dining industry, driven by increasing consumer demand. The acquisition reflects a growing trend of international investors targeting Africa’s food value chain for expansion.

Founded by US entrepreneurs Kevin Ashley and John Wagner, Java House has expanded beyond coffee to include fast-casual brands Kukito, Planet Yogurt, and 360 Degrees Artisan Pizza, as well as the food manufacturer Foodscape, World Coffee Portal reported on January 27.

Actis acquired Java House in 2019 after the liquidation of Abraaj Group, which had purchased the company in 2018 in a deal reportedly worth over $100mn. Previous ownership also includes Washington DC-based Emerging Capital Partners, which held a 90% stake in the chain from 2012.

The new buyers, Alterra Capital and Phatisa Group, bring complementary expertise. Alterra focuses on financial services and telecoms while Phatisa is deeply invested in Africa’s food value chain, with stakes in companies like Zambia’s Goldenlay and South Africa’s Lona Group. Java House is their first venture into the coffee and dining sector.