Afrigather Savannah Clinker has made a $197.2 million counter-offer for Bamburi Cement, weeks after Kenya’s greatest cement maker accepted an acquisition bid from Tanzania’s Amsons Group. Savannah Clinker supplied $0.54 per share, a 53.34% premium on share worth, in comparison with Amsons’ $182.8 million bid.
It’ll complicate the sale of Bamburi after Holcim, a Swiss building supplies producer and its largest shareholder, authorised a suggestion from Amsons Group on July 27. Holcim agreed to promote its 58.6% stake and is awaiting regulatory approval from the Competitors Authority of Kenya (CAK) and the Capital Markets Authority (CMA).
If Savannah Clinker’s provide is authorised by Bamburi’s board and the regulators, will probably be one of many largest offers within the historical past of the Nairobi Securities Trade (NSE). Savannah Clinker is owned by Benson Ndeta, a director of Savannah Cement, which entered administration in July 2023.
“Savannah Clinker Restricted notifies the general public that it has on twenty seventh August 2024 served Bamburi Cement PLC with a discover of intention to accumulate as much as 100% of the peculiar shares of Bamburi,” the corporate mentioned.
“The competing provide is in response to a proposed provide by Amsons Industries, of which discover of intention to make a take-over provide was issued on tenth July 2024.”
The corporate mentioned Ndeta is “within the strategy of exiting as a director of Savannah Cement,” which has been rocked by boardroom wars and authorized woes over billions of shillings owed to banks and suppliers.
In contrast to Amsons Group, Savannah Clinker might not delist the corporate from the NSE.
“The competing offeror doesn’t intend to de-list Bamburi from the NSE. Nevertheless, ought to the competing offeror obtain acceptances of 90% or extra of the provide share, the competing offeror shall in accordance with the take-over laws, provide the remaining shareholders a consideration that is the same as the prevailing market worth,” the corporate mentioned.
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