Premier Fishing and Brands yesterday cautioned the market that its parent firm, African Equity Empowerment Investments (AEEI), was on the brink of making a firm offer to acquire the remaining shares it doesn’t own in the fishing company.
In a Stock Exchange News Statement Premier said it had come to the attention of its board of directors that AEEI, which holds 56% of the shares in the company, had indicated that it “is about to make a firm intention to make an offer to acquire all of the ordinary shares in the company not held by AEEI and shareholders acting in concert with AEEI”.
AEEI is a black-owned and controlled investment holding company.
“Whilst this does not at present constitute a firm intention to make a firm offer or offers in terms of the Companies Act, 2008 (Act 71 of 2008) at this stage, shareholders of the company are urged to exercise caution in dealing in their shares in the company until such time as further announcements in this regard are made,” it said.
Premier, which celebrated its 70th birthday last month and is led by newly appointed CEO Sooren Ramdenee, is a vertically integrated organisation which through its subsidiaries specialises in harvesting, processing, marketing, sales and distribution of a variety of marine products. It also owns and manages factories, an abalone farm and several fishing vessels.
In May, Premier, with a market value of R338 million, posted a solid 75% increase in headline earnings a share to 3.07 cents in the six months to February 28 in spite of the continued aftershocks of the Covid-19 pandemic and constrained natural resources.
Gross profit increased 4% to R90m.
The shares of Premier remained flat on the news.
BUSINESS REPORT