Exchange-Listed Companies
FirstRand will take transfer of the clients, the banking assets and liabilities and the employees of HSBC South Africa. The clients of HSBC in South Africa which are mainly subsidiaries of multinationals operating in SA and some large domestic corporates, will be housed in FirstRand’s corporate and investment banking arm Rand Merchant Bank. The transaction is expected to be completed in the fourth quarter of 2025.
The board of directors of Capital & Regional (C&R) have accepted the £147 million offer of cash and shares from NewRiver REIT. Growthpoint Properties which holds a 69% stake in Capital & Regional (C&R) valued at £101,4 million, will receive £50,7 million in cash and 67,4 million NewRiver REIT shares, representing c.14% stake in the enlarged combined group. Under the terms of the offer, C&R shareholders will receive 31.25 pence in cash and 0.41946 NewRiver REIT shares for each C&R share held. Growthpoint has undertaken not to sell any NewRiver shares issued under the transaction for a period of five months without prior approval from NewRiver and a further four months without giving reasonable written notice of the sale. Following the successful completion of the transaction, C&R will delist from the JSE. The disposal is a category 2 transaction for Growthpoint so does not require shareholder approval.
BHP has announced it will negotiate exclusively with ASX-listed Cobre, an exploration and development company focused on copper and base metals exploration in Botswana and Western Australia, for a material earn-in joint venture agreement. The agreement is over Cobre’s Kitlanya West and East Copper Projects, located on the northern and southern basin margins of the Kalahari Copper Belt in Botswana. The proposed transaction excludes Cobre’s ownership of Ngami and Okavango Copper Projects.
African Dawn Capital has entered into discussions with an investor who will contribute R5 million in the form of a subscription for 50% of the share capital in Elite Group and a R15 million long term loan (with a repayment starting in seven years). The contract expires if not signed by the directors of African Dawn Capital Limited before 30 September 2024.
Putprop has concluded an agreement with Global Tank Worx, a subsidiary of Sky-Way, a company headquartered in the Netherlands. Putprop will dispose of the properties situated at 3 and 7 New Canada Road, Putcoton for R42 million. The Soweto properties, provide a logistics hub for 300 to 400 Putco buses which provide transport to over 20,000 commuters daily. The disposal is classified as a Category 2 transaction.
Unlisted Companies
Vantage Capital, an Africa-focused fund manager based in Johannesburg, has closed a €14 million mezzanine investment in Société de Production Maraîchère Samir (SPMS). Headquartered in Morocco, SPMS specialises in cherry tomato production and red fruits, managing a planted area of 101 hectares. The investment by Vantage Capital will be used to finance its development strategy to increase its cultivated area to 300+ hectares.
Irvine’s Group, a Johannesburg-headquartered poultry business with operations in Zimbabwe, Tanzania, Mozambique, Kenya and Botswana, has signed a US$18 million financing agreement with the Norwegian development finance institution Norfund, to expand operations in sub-Saharan Africa. As part of the agreement, Irvine’s in a joint venture with long-time partner Cobb, will establish an ultra-modern facility in Tanzania which will breed parent stock and help reduce the timeline and logistical challenges of importation, thereby strengthening the reliability of the supply chain throughout the continent. Chicken and eggs are the most affordable animal-based protein source and investments such as this provide accessible, high-quality protein while empowering local businesses.
DealMakers is SA’s M&A publication.
www.dealmakerssouthafrica.com
