South Africa-based miner Petmin Ltd. has agreed to a takeover by Capitalworks Private Equity SP GP Pty. Ltd.
The company said Dec. 19 that Capitalworks is offering either 1.55 South African rand per share in cash, which values Petmin at 894.2 million rand, or 1 linked share in the company formed to undertake the acquisition, CorpVent 100 Ltd.
The CorpVent 100 linked share will comprise 1 ordinary share and 1 preference share, priced at 1.60 rand per offer share.
The offer, which is for all or a portion of the issued ordinary shares in Petmin but excluding the shares held by the company's subsidiaries, is a 14.81% premium for the cash consideration or an 18.52% premium for the share consideration to the Dec. 14 closing price of Petmin's shares on the Johannesburg Stock Exchange.
As of the date of the announcement, Petmin shareholders, including all of the executive directors, collectively holding a 34.07% stake agreed to tender their shares to the offer.
Petmin's board has unanimously recommended the offer to shareholders.
On completion of the offer, Petmin will be delisted from the Johannesburg Stock Exchange.