https://www.engineeringnews.co.za

Afgri takeover given conditional go-ahead

Afgri takeover given conditional go-ahead

Photo by Duane Daws

6th March 2014

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

Font size: - +

The proposed takeover of local agricultural and diversified foods group Afgri by JSE-listed Mauritius-based AgriGroupe on Thursday received a conditional thumbs up from the Competition Tribunal.

The R2.4-billion deal, which secured shareholder approval in November, attracted concerns from government and various stakeholders over a foreign entity gaining control over the South African grain trading value.

The Competition Commission had recommended the buy-out be approved without conditions, while the Competition Tribunal had imposed conditions as agreed between the merging parties and the departments of Economic Development, Trade and Industry, Agriculture, Forestry and Fisheries and Rural Development and Land Reform.

The government departments were concerned about the potential for AgriGroupe to increase silo storage costs in KwaZulu-Natal, Mpumalanga and Gauteng once the deal was implemented, as well as the possibility that AgriGroupe would export all the grain to countries like Mauritius to take advantage of the taxation regime in that country.

The deal was expected to bring in “well over” $100-million in new capital into the country and would provide Afgri with the boost it needed to support its existing business and growth plans in South Africa.

Edited by Creamer Media Reporter

Comments

Showroom

Showroom image
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 
Werner South Africa Pumps & Equipment (PTY) LTD
Werner South Africa Pumps & Equipment (PTY) LTD

For over 30 years, Werner South Africa Pumps & Equipment (PTY) LTD has been designing, manufacturing, supplying and maintaining specialist...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

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?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.078 0.131s - 137pq - 2rq
Subscribe Now