Duet Private Equity (DPEL) has acquired a significant stake in soft drinks producer Ajeast Nigeria, the Sub-Saharan Africa subsidiary of multinational beverage company AJE Group.

DPEL has invested more than $50m in the acquisition, and a significant share will be allocated as growth capital.

DPEL CIO and Duet Group co-founder Henry Gabay said: “As the number of middle-income households in Nigeria and select West-African markets keep expanding, and more consumers are entering the formal economy through urbanisation, the demand for products such as BIG Cola will grow exponentially.

“The acquisition of Ajeast follows our previous investments in the beverage sector across Africa, and we are excited to be able to leverage our experience in partnership with a prominent multinational such as AJE Group.”

“The acquisition of Ajeast follows our previous investments in the beverage sector across Africa.”

AJE Group formally launched the soft drinks producer in October 2015 by opening a factory near Lagos, Nigeria. With brands such as Big Cola, Big Orange and Big Lemon, the company has gained significant market share in the carbonated beverage segment.

DPEL’s investment will be used to expand Ajeast’s presence in international territories, supporting new product launches and increasing production volumes.

Ajeast will also distribute AJE Group beverage brands to other parts of Africa.

AJE Group chairman Angel Añaños said: “As AJE intends to accelerate into the next phase of growth in Africa, we were seeking a partner that has the local platform and sector expertise to support our ambitions.

“With Duet, we have found a partner that shares our commitment to widening our product reach of affordable value beverages to the African consumer.”