Bidcorp said the transaction would take time to conclude, because it still needed to go through regulatory approval. “The transaction is subject to customary conditions precedent, including the approval from the Competition and Market Authority in the UK, which is expected to take several months,” the group said.
Best Foods operates in the QSR contract logistics market in the UK.
Bidcorp said that it expected no material financial impact on its consolidated net assets and profit for the year to end June 2020 as a result of the transaction. It said Best Foods had been recorded as an uncategorised transaction in terms of the Listings Requirements of the JSE.
Peter Takaendesa, a portfolio manager at Mergence Investment Managers, said Bidcorp had been in the market trying to sell its UK contract business since late 2017 and previous potential buyers failed to conclude the transaction later in 2018.