Libstar was founded in 2005 by Lereko Investment and Advisory Services Proprietary Limited (“Metier”), Andries van Rensburg and Robin Smith under the name “Liberty Star Consumer Holdings Proprietary Limited” or “Liberty Star”. Royal Bafokeng Finance Proprietary Limited (a South African investment company that invests in listed and unlisted assets across a broad range of sectors) initially held the majority equity interest in the business with van Rensburg and Smith before the Royal Bafokeng group of companies disposed of its interest in the business to entities within the Metier group, including the Lereko Metier Capital Growth Fund Trust in 2008.
In 2010, minority equity stakes were sold to ADP Holding 6, a pan-African private equity fund, and Old Mutual Life Assurance Company (South Africa) Limited. In 2014, Abraaj acquired the entire interest in Liberty Star Consumer Holdings and all of its operating businesses.
In 2018, Libstar listed on the main board of the JSE Limited in the Food Products sector. The Company successfully raised R3 billion via the listing. This comprised a primary raise of R1.5 billion and a secondary sell-down of R1.5 billion from existing shareholders, including Abraaj.
The Nature Of Our Business.
Libstar is a leading producer and supplier of high quality products in the CPG industry and markets a wide range of products in South Africa and globally. The Group provides a multi-product offering in multiple categories across multiple channels, while strategically positioning itself within the food and beverage and HPC sectors and maintaining the flexibility to capitalise on growth areas in the CPG industry.
The Group currently operates across 27 Business Units, each of which has its own infrastructure, employees and products. The Group operates a decentralised business model, with each Business Unit being responsible for its own procurement, production, distribution and logistics, sales and marketing and customer relationships. Libstar Operations acquires small to medium sized businesses that demonstrate strong management drive and high-quality operations and provides a platform for these businesses to grow through the provision of working capital and investment in infrastructure that builds manufacturing capability and capacity.
The Group produces and supplies an extensive range of products across 7 product categories, namely
- Ambient groceries;
- Snacks and confectionery;
- Niche beverages;
- HPC; and
- Specialised food packaging.
Multiple Brands and Channels
These products are supplied to the Group’s customers through three distinct product offerings which are aligned to the Group’s overall strategy and position in the market.
The first product offering, namely Brand Solutions, comprises:
- brands that are proprietary or licensed to the Group, namely Libstar Brands and Licensed Brands,
- brands that are produced by the Group in partnership with or on behalf of its customers, namely Dealer-Own Brands and Private Label, and
- brands that are sourced, marketed and distributed by the Group on behalf of brand-owners, namely Principal Brands.
The Group’s second product offering is the production and supply of products to the food services industry.
The third offering is the provision of Outsourced Manufacturing Solutions, including packaging. These product offerings ensure that the Group has a strong presence across the major outlets within the CPG industry as well as a diverse selection of products available to end consumers at the point of purchase. In turn, the Group’s product offerings are delivered to the market through four channels, namely
- retail and wholesale,
- food service industry, and
The Group’s strategy is aimed at exploiting these sales channels to ensure that the Group’s Brand Solutions are positioned for consumer purchase at the right place and time.