Photo by: Duane Daws
JSE-listed logistics company Cargo Carriers will sell its 55% shareholding in BHL Zambia and its 51% shareholding in BHL Namibia to Beefco for $1.94-million.
BHL Zambia specialised in the transport of various commodities, including copper concentrates, lime and sulphuric acid and provided logistics solutions within Zambia and sub-Saharan Africa to clients operating in the mining, manufacturing and agricultural sectors.
Cargo Carriers noted that exposure to the fluctuations in the mining economy in Zambia and changes in the currency environment had led it to accept an offer for the business.
Beefco would pay $1 for the BHL Namibia shares, while the remainder of the purchase consideration would apply to the BHL Zambia shares.
BHL Zambia’s assets at end-August stood at R6.9-million, of which Cargo Carriers’ 55% shareholding comprised R3.7-million. Its unaudited loss for the six-month period to August 31 was R7.1-million, of which Cargo Carriers’ share was R3.9-million.
In addition, Cargo Carrier’s earlier contingent consideration of R3.5-million in relation to the original BHL acquisition would no longer be payable.