On October 30, 2019, the Competition Authority of Kenya (CAK) approved the planned acquisition of KUKU Foods by Vivo Energy, citing that the deal met the threshold for a merger.
The combined revenue of the two parties for the preceding year exceeded Sh1 billion, with their business lines not overlapping.
CAK noted that the lines of business are complementary in nature, as fast food outlets can be set up in petroleum retail outlets, providing convenience to motorists.
At the time of the acquisition, KFC had at least 24 outlets across major towns in Kenya, with a market share of 15 percent.
CAK further explained that the proposed acquisition will not have an impact on the market share of the merged entity and will unlikely raise competition concerns.
