Adcock shareholder vote on CFR offer delayed to mid-February
JSE-listed pharmaceutical company Adcock Ingram on Thursday announced that it would further delay a shareholder vote on the increased R12.8-billion takeover offer from Chile’s CFR Pharmaceuticals to mid-February, as it was still awaiting regulatory approval of the relevant shareholder documentation.
The vote on this transaction would initially have taken place in December, but was postponed to January to give shareholders more time to consider CFR’s increased offer, which had been increased from R12.6-billion to R12.8-billion to fend of a rival offer from South Africa-based Bidvest, as well as to attempt to gain the support of South African State-owned pension fund the Public Investment Corporation (PIC).
However, as of December the PIC, which owned 22% of Adcock, still did not support the transaction, stating that it did not want shares in CFR.
In a previous Reuters report PIC CEO Elias Masilela said CFR's offer reduced the potential for Adcock shareholders to benefit from a turnaround in the struggling company.
"We believe that CFR shares are fully valued while Adcock Ingram's share price has the potential to rise substantially in value through better management," Masilela said.
He also voiced concerns about CFR as a family-controlled business, as the founding Weinstein family controls around 73% of CFR.
"Given our experience of corporate governance challenges with some family-controlled businesses locally, we believe this introduces risks to the investment, especially considering the short listing history of CFR," Masilela said.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation