Sulmac, a major producer of roses, spray carnations, standard carnations, lilies has been put up for purchase by CDC Capital Partners, which has operated as shareholder and corporate manager for the last four years.

Despite success since its initial investment – CDC production covers some 86ha of flowers and 149.5ha of organically certified land – the financier believes that for Sulmac to continue its expansion, it requires the dedicated attentions of an established industry specialist.

Michael Turner, CDC's east African director, said: 'This deal makes good commercial sense and builds on the development already undertaken by CDC at Sulmac.

'Both businesses are located close to one another on the shores of Lake Naivasha, which should ensure that the combined business enjoys significant economies of scale across the group. Sulmac will also benefit from Homegrown's impressive distribution network.' Dicky Evans, chief executive of Flamingo Holdings Ltd, added: 'Homegrown looks forward to development in conjunction with its other Kenyan operations and ensuring the staff involved receive the same level of training and welfare as existing employees. Development and construction on the farm will be undertaken immediately and will take some two years of investment.' It is intended that the farm will operate under the new name of Kingfisher, and there are significant plans to upgrade rose varieties and expand the production of vegetables – moves which will require large changes in both the people involved and infrastructure.

Turner expressed support for Homegrown's management, saying: 'We have every confidence that the ongoing business will continue to grow and go from strength to strength.'