The shareholders of the diversified food group Afgri have voted in overwhelming favor of the R2.4 billion (US$258 million) takeover by the AgriGroupe investment consortium. The purchase price represents a 25% premium above the company’s tangible book value per share. AgriGroupe is a private investment company incorporated in South Africa consisting of both South African and international investors including Bafepi Agricultural and backed by the Public Investment Corp. Approval for the takeover still needs to be obtained from the Competition Commission however, AgriGroupe stated that approval should be forthcoming as neither AgriGroupe nor any of its investors compete in or supply products or services to any markets in which Afgri operates. The acquisition should close in the first quarter of 2014.
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