TSL moves closer to finalising Nampak deal
STAFF WRITER
Tobacco Sales Limited (TSL), a publicly traded agro-business firm, is in the process of finalising and executing a Sale and Purchase Agreement with Nampak Southern Africa Holdings Limited, a South African packaging conglomerate, for the acquisition of Nampak Zimbabwe.
Nampak SA Holdings has accepted TSL’s US$25m offer to acquire a 51.43% stake in Nampak Zimbabwe.
However, the deal still requires approval from TSL’s shareholders at an upcoming Extraordinary General Meeting (EGM).
Fadzayi Pedzisayi, TSL’s company secretary, confirmed the developments, stating: “TSL and Nampak SAHL are still engaged in processes to finalise and execute the Sale and Purchase Agreement. The transaction will require shareholder approval, which will be sought at an extraordinary general meeting [EGM]. The company is preparing a circular for shareholders, which will include full details of the transaction, a notice for the EGM, requisite shareholder resolutions, and other statutory and regulatory requirements.”
Pedzisayi also advised shareholders to exercise caution when trading the company’s securities, assuring that further updates will be provided as material developments occur.
Similarly, Keith Nicholson, Nampak’s company secretary, stated: “The disposal remains subject to the fulfillment of various suspensive conditions, including the conclusion of binding transaction agreements and obtaining all necessary regulatory approvals. Accordingly, shareholders and the investing public are urged to exercise caution when dealing in the company’s securities until a full announcement is made.”
Nicholson added that further announcements would follow upon the execution of binding transaction agreements.
Market analysts suggest that Nampak Southern Africa Holdings Limited is divesting its controlling stake in Nampak Zimbabwe as part of efforts to address its significant debt burden.
