Alterra Capital, backed by billionaire Aliko Dangote, has fully acquired Kenya’s top tour operator, Pollman’s Tours and Safaris Limited, in a deal worth KSh 4 billion.
Big Play in Kenya’s Tourism Sector
Alterra Capital, founded in 2020 to invest across Africa, has entered the regional tourism market through this deal. The firm is capitalizing on a rebounding tourism sector in Kenya, with over one million tourists for the first time in 2024 and KSh 650 billion in revenue.
Pollman’s has been in the Kenyan tourism scene for years and offers guided safaris and sells travel packages globally through travel agents and tour operators. With a fleet of over 200 custom safari vehicles, it’s one of the most trusted names in the business.
The Deal: Who’s Behind Alterra?
The deal was confirmed by a transaction advisor who spoke to Business Daily on condition of anonymity. The advisor valued the deal at Sh4 billion.
Alterra’s investors include:
Aliko Dangote, Africa’s richest man, worth $23.9 billion (Sh3.08 trillion), according to Forbes.
David Rubenstein and Bill Conway, co-founders of the Carlyle Group.
Norfund AS, Norway’s state-owned development finance institution.
International Finance Corporation (IFC), the private sector arm of the World Bank.
Alterra Capital is also one of the firms that got approval to buy majority stake in Kenya’s Java House coffee chain from UK-based Actis, alongside Phatisa.
Alterra’s Strategy: Scalable Growth Over Big Deals
Unlike Western private equity firms that often go for big, established companies, Alterra is betting on small to mid-sized African businesses that have room to grow. The fund offers capital and strategic guidance in high-growth sectors like tourism, healthcare, consumer goods, logistics and technology.
This is a departure from global players like Blackstone and KKR that have scaled back their African investments due to mismatch between deal sizes and expectations.
Why Pollman’s? A Tour Industry Giant
Despite the acquisition, Kenya’s Competition Authority (CAK) has ruled out any competition issues, saying Alterra and Pollman’s operate in different sectors, therefore the market structure and concentration will remain unchanged. The tour operator market in Kenya, according to CAK, is not concentrated, with over 322 players. These include big names like Bonfire Adventures, Bountiful Safaris, Acacia Holidays and Cheetah Tours.