Johannesburg - Italtile said yesterday that through its wholly-owned subsidiary, Italtile Ceramics, it had submitted a binding offer letter to Ceramic Industries to acquire the remaining shares it does not own.
Italtile first made its intention known at the end of April to acquire a 75 percent controlling stake in Ceramic Industries for a proposed R3.75 billion.
The companies have entered into a written implementation agreement, but with the statement released yesterday, with an intention to acquire the remaining stake.
“We have moved from a non-binding offer to a binding offer with Ceramic,” Italtile chief executive Nick Booth said.
Italtile owns 20 percent in Ceramic and Booth said they were still waiting for the approval from the Competition Commission.
Italtile said it intended to settle 50 percent of the acquisition in cash.
Shares rose 3.79 percent to close at R13.70.
BUSINESS REPORT