It said it planned to rename BPSMS and rebrand its retail assets over the next six months.
The purchase has been financed through a combination of $8.2m of cash resources available to Masawara and third-party debt funding arrangements.
Masawara said its planned introduction of financial and technical partners would allow for the repayment of a significant portion of the third-party funding. It would retain a minimum equity interest of 51%.
In 2010, BPSMS generated revenue of $101m and had EBITDA of $3.4m. Masawara said that supply and funding constraints had reduced its market share to 16% from historical levels of over 40%.
CEO Shingai Mutasa said, ‘This is a business that has been very profitable in the past, and with adequate funding, will steadily grow again. BPSMS fits our strategy of investing in cash generative businesses with a clear growth potential.’