HARARE, November 23 (The Source) – Regional cement maker Pretoria Portland Cement (PPC) has turned down Fairfax Africa Investments’ partial offer, saying was not ‘fair and reasonable.’
PPC had appointed Investec Bank to provide an opinion in respect of the partial offer, which concluded that the offer was too low.
“The independent board advises shareholders that, having completed its process of considering the terms and conditions of the partial offer, it has resolved not to recommend to shareholders that they accept the partial offer,” PPC said in a statement.
Fairfax is a subsidiary of Fairfax Africa Holdings Corporation, an investment holding company listed on the Toronto Stock Exchange, with a market capitalisation of over $600 million and approximately $400 million of investable cash.
However, PPC said it is still engaging with two other firms — Irish form CRH and LarfageHolcim who have made non-binding expressions of interest.
The South African-based firm operates 11 cement factories in South Africa, Botswana, the Democratic Republic of Congo, Ethiopia, Rwanda and Zimbabwe.