On May 9, Cherat Cement Company Limited (CCCL) along with Shirazi Investments (Private) Limited announced their plan to purchase up to 75.69% of the shares in Rafhan Maize Products Company Limited (RMPL). RMPL is among the biggest players in Pakistan’s agribusiness sector.
The Manager of the Offer, Topline Securities, reported this development in an announcement to the Pakistan Stock Exchange (PSX) on Thursday.
Topline Securities Limited has been designated as the Manager for the Offer by Cherat Cement Company Limited and Shirazi Investments (Private) Limited. This appointment adheres to the provisions set forth in the Securities Act 2015 and the Listed Companies (Substantial Acquisition of Voting Shares and Takeovers) Regulations from 2017.
“Representing the acquiring party, we aim to issue this public announcement expressing our intention to purchase up to 75.69% of the shares in Rafshan Maize Products Company Limited, pending approval from relevant authorities and conditions precedent, should they be required,” stated the notification.
This development follows shortly after reports emerged about Ingredion Incorporated, a U.S.-based supplier of ingredients for food and beverages, considering bids to divest its shareholding in RMPL. According to an announcement detailing the planned acquisition, both Cherat Cement and Shirazi Investments intend to individually purchase up to 3,495,526 shares via the Share Purchase Agreement (SPA). This would equate to acquiring as much as 37.845% of Rafhan Maize’s total issued capital per company.
Together, their objective is to obtain as many as 6,991,052 shares, which represents 75.69% of the company.
Nevertheless, the quantity of shares they intend to purchase from the public is “not ascertainable at this point” and will be established following the signing of the SPA.
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