Johannesburg - Investment holding company Labat Africa has concluded a multi-million rand BEE deal to buy Reinhardt Group (RTG) as the company aims to become the leading transport and logistics service provider in sub-Saharan Africa.
In a noticed issued on Friday, Labat Africa said a substantial number of BEE investors came forward and made offers far exceeding the required R375 million to acquire RTG.
“The company is pleased to advise that it has secured agreement from the RTG Vendor to allow for bridging funding to the BEE groupings for the R330 million required to conclude the RTG acquisition, whilst the funding of the various BEE companies is being finalised,” it said in a statement.
The company said the balance of the shares for the additional R45 million will only be listed once the cash is received.
“The acquisition was concluded unconditionally and the shares in relation to the RTG acquisition will be listed on or about 15 January 2016.”
In June 2015 Labat Africa concluded the first step to takeover RTG for a total of R645 million.
It was agreed that preference will be given to black economic empowerment investors, existing Labat shareholders, and RTG vendors and management to invest in the takeover.
Labat Africa’s expansion to become a leading transport and logistics company in the region gained momentum following the company’s acquisition of two dry-bulk logistics companies and a raw material bulk carrier for a total of R90 million at the end of 2015.
ANA