Finnish development financier and impact investor Finnfund, alongside US development financier DFC, has invested $15 million in Kentegra Biotechnology Holdings LLC, a Kenyan company specializing in the production of natural pyrethrin from Dalmatian daylilies. This organic insecticide is crucial for sustainable agriculture, breaking down quickly without leaving toxic residues. The funding will enhance Kentegra’s production capabilities at their state-of-the-art facility in Naivasha, allowing them to process flowers from over 90,000 small farmers. This investment not only boosts Kentegra’s role in the global market but also significantly impacts local economies by providing stable livelihoods and promoting sustainable farming practices.
Finland’s Minister for Foreign Trade and Development Ville Tavio, accompanied by Finnish development financier and impact investor Finnfund, was one of the first visitors at Kentegra Biotechnology’s cutting-edge pyrethrum processing facility in Naivasha, Kenya. The visit underscores the strong collaboration between the Finnish government, Finnfund, and Kentegra in revitalizing Kenya’s pyrethrum industry.
Kentegra Biotechnology Holdings LLC, a leading U.S.-Kenya company, specializes in the production of an organic active ingredient used in insecticide formulations. Derived from dried pyrethrum flowers, pyrethrin is a crucial ingredient for health and environment conscious consumer. Kentegra contracts, trains and provides a ready market for small-holder farmers cultivating the crop thus providing a sustainable source of income.
Kenya commercialized the use of pyrethrin and was once the world leading producer of pyrethrum globally. With the support of the United States Development Finance Corporation (DFC) and Finnish Finnfund, Kenya is poised to become a significant player once again in the global market. The 15 million US dollar investment will enable Kentegra to process pyrethrum flowers from over 90,000 small-scale farmers in Kenya, providing a much-needed boost to the local economy and providing a needed greener active ingredient for the world.
Minister Ville Tavio commended Kentegra’s positive impact on farmers’ livelihoods and commitment to sustainable agriculture. He emphasized the importance of organic insecticide and the growing demand for sustainable food production. The Naivasha facility, spanning 12 acres within the Naivasha Special Economic Zone, is projected to process several hundred tons of pyrethrum by year-end and beyond.
“It is exciting to mark this milestone on the construction phase because it signifies more processing capacity to meet the growing market demand and the opportunity to generate a source of livelihood for farmers and employees.” said Brian Mckenzie, Kentegra Biotechnology CEO.
“Finnfund’s investment in Kentegra aligns with its mission to support impactful ventures” said Johanna Raehalme, Finnfund’s Head of Origination, Africa. Raehalme praised Kentegra’s growth potential and professional management. The collaboration aims to empower local farmers, particularly women, by expanding Kentegra’s network and implementing best farming practices.
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