Moroccan company Innoflex Group has raised 200 million dirhams ($22 million) to grow its business and expand its presence in North Africa, with a focus on foam and mattress production.
The funding is led by CDG Invest Growth, which is putting in 110 million dirhams. The remaining 90 million dirhams comes from other investors. The company was started eight years ago by Mohamed El Yacoubi with just 100,000 dirhams.
The money will mainly be used to build a new, more modern factory, improve how the company is managed, and expand into new areas such as car parts and high-end hotel supplies.
Mr El Yacoubi said the investment is not an end point but a step forward that will help the company grow beyond Morocco.
Innoflex has also signed a 140 million dirham agreement under Morocco’s new investment rules, which aim to encourage local production and reduce imports.
Foam materials like polyurethane are widely used in mattresses, furniture, and car seats. Demand in Morocco is rising as the country grows its manufacturing sector, with imports increasing by around 2.4% a year.
The government is encouraging companies to produce more locally instead of relying on imported goods.
Innoflex controls most of its production process, from making the foam to selling products directly in stores. In 2024, it launched its own retail brand, “Moul Pounj”.
That brand has quickly grown to 40 stores in under two years, opening about two new shops each month. This helps the company better understand what customers want.
Caisse de Dépôt et de Gestion through CDG Invest Growth is the main investor. It has been active for 25 years and has invested billions of dirhams in Moroccan companies.
It usually helps businesses not just with money, but also with management and planning as they grow.
The investment fits into Morocco’s new support programme for businesses that create jobs and produce locally.
It also connects to the country’s growing car industry, which is now the largest in Africa, with major factories from companies like Renault and Stellantis.
CDG Invest Growth has recently been reshuffling its investments, selling some companies and buying into others, as it focuses more on fast-growing industrial sectors.
