Luni Libes
Luni Libes, an American serial entrepreneur and founder of Africa Eats, has set out to build a holding company inspired by Warren Buffett’s Berkshire Hathaway – but with a distinct focus on Africa’s agricultural value chain. His ambition is to unlock value for investors by backing businesses that address critical gaps in the continent’s agribusiness sector.
Africa Eats holds stakes in 22 companies, spanning diverse markets and industries. Notable investments include Tanzania’s East Africa Foods, Rwanda’s Paniel Meat Processing, and Malawi-based Ziweto, a supplier of agrovet products and manufacturer of animal feed. The firm’s strategy borrows from Berkshire Hathaway’s playbook: identifying promising companies, holding onto these investments in perpetuity, and creating long-term value for shareholders through portfolio growth and capital appreciation.
“Once we found a company and we make an investment, we have no plans of ever selling that investment,” said Libes in a recent interview with How we made it in Africa, contrasting Africa Eats to traditional private equity and venture capital funds, which are required to exit their investments.
Like its American counterpart, Africa Eats relies on a lean team of just three full-time staff. Libes noted that even Berkshire Hathaway, one of the US’s 10 most valuable public companies, manages its sprawling empire from Omaha with a headquarters team of only about two dozen employees.
However, he pointed out some key differences between the Africa Eats and Berkshire Hathaway models. For instance, the company focuses on investing in young companies – a departure from Berkshire Hathaway’s typical approach. Additionally, Africa Eats takes a more hands-on role in helping its portfolio companies grow and scale.
Watch our full in-depth interview with Africa Eats CEO Luni Libes: Investing in African agribusiness, Warren Buffett style
