Exchange-Listed Companies

Eenhede Konsultante, the majority shareholder (57.64%) in Advanced Health has made a firm intention to make an offer to acquire all the issued shares of the company other than those held by the VC Family Trust, the Carl Grillenberger Family Trust and Pres Medical Witbank, for an offer consideration of 80 cents per Advanced Health share. Prior to the announcement, the shares were trading at 40 cents per share, 50% of the offer price. Since listing in 2014, the company has struggled to attract significant institutional interest and as a result management says it difficult to justify the costs associated with being listed on the JSE.

Pick n Pay Stores has announced an acquisition to enhance the Group’s fresh meat offering to customers. The R340 million acquisition of Tomis group of companies includes a state-of-the-art abattoir and meat processing and packaging business, situated near Wellington, which supplies lamb, beef and other quality fresh meat products to wholesalers and retailers. The purchase consideration will be split with an upfront cash consideration of R323 million payable and the remaining R17 million on the third anniversary of the deal.

Castleview Property Fund has, through its wholly-owned subsidiary Interurban Willowbridge (RF), signed an agreement with Mirlem IP to dispose of the Makhaza Shopping Centre. The centre, situated in Khayelitsha will be sold for a cash consideration of R140 million. The deal is a related party transaction as the beneficial owners of Mirlem also form part of the beneficial ownership of I Group Investments, a material shareholder in Castleview.

In a cost cutting exercise, Cognition, a subsidiary of Caxton and CTP Publishers and Printers, is to dispose of its Ferndale property known as Cognition House to Luma for R11,87 million. The company’s infrastructure is hosted within the Caxton facilities and as a result current Johannesburg employees will be accommodated in the Caxton building.

Unlisted Companies

Rainbow Rare Earths, an LSE-listed mining company focused on producing the separated rare earth oxides required to drive the green energy transition, is to acquire an 85% stake in the joint venture that holds the rights to Phalaborwa rare earth project in Limpopo. This updates the original co-development agreement which envisaged Rainbow earning a 70% interest. Rainbow will pay Bosveld US$5 million in cash. Under the agreement, Rainbow has been granted a call option to acquire the remaining 15% of the joint venture held by Bosveld in return for US$17 million of equity in the company.

Huaxin Cement, a Chinese, Hong Kong-listed company, is to acquire the Africa-based business of InterCement in a deal which includes the assets in Mozambique and South Africa. The transaction value is estimated at US$231,6 million based on an enterprise value of $265 million.

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