Navis Capital Partners is selling its entire stake in Eastern Grocer Sdn Bhd—the parent company of Malaysia’s Everrise supermarket—to three entities controlled by Southeast Asian superapp Grab for an undisclosed amount.
Kuala Lumpur-based Navis, which invested in the supermarket in 2019, said on Monday that it will divest its stake to D Holdings Inc, H Holdings Inc, and Green Aurora Sdn Bhd, which are controlled by Grab Holdings.
Headquartered in Kuching, Everrise is a premium grocery chain in East Malaysia and runs 19 outlets across Sarawak and Sabah.
Navis strategically partnered with Everrise to drive significant growth, including the rapid expansion of new store openings and the refurbishment of existing locations, elevating the customer shopping experience, according to an announcement. Furthermore, the PE firm helped strengthen the company’s leadership by attracting top-tier talent and enhancing operational efficiencies.
Nasdaq-listed Grab also owns Jaya Grocer, which runs stores across Peninsular Malaysia, the majority being located in the Klang Valley near Kuala Lumpur. Grab acquired a 75% stake in the grocer for an undisclosed amount in Jan 2022 to double down on its on-demand grocery delivery business.
E-commerce giants have realised the potential of teaming up with brick-and-mortar players. Other similar partnerships include BliBli’s acquisition of PT Supra Boga Lestari Tbk (SBL), which runs Ranch Market in Indonesia. Alibaba-owned Lazada has also invested in The CrownX, the online grocery business of Vietnam’s Masan Corp.
Navis’s Managing Partner Rodney Muse, at a panel discussion at the AVCJ Private Equity Forum in Hong Kong late last year, had shared that the firm was looking at three to four exits over the following two quarters. Navis has had 63 divestments to date, most of which are through the strategic sales route.
The PE firm is also in the fundraising process for its ninth buyout fund and second continuation fund.
DealStreetAsia reported recently that TPG NewQuest might be the anchor investor for Navis’ second GP-led secondary vehicle, which could raise as much as $150 million. Navis is understood to roll up education assets in Thailand, Vietnam and Cambodia into the new fund, while continuing to expand its school portfolio through bolt-on acquisitions.
Meanwhile, the Malaysia-headquartered firm aims to raise $1 billion for its ninth flagship fund. Its $900 million eighth private equity fund was closed in 2021.
