DURBAN – Tiger Brands has decided to offload its 5.9 percent stake in Oceana Group for a total consideration of R581.44 million, in a move described as exiting its non-core assets.
Tiger Brands first informed its shareholders toward the end of November last year that its board had decided to pursue an unbundling of Tiger Brands’ shareholding in Oceana.
It said yesterday that it had received and accepted a conditional, but binding offer from Brimstone Investment Corporation to acquire 8 million ordinary shares in Oceana for R72.68 a share, which was based on the 10-day volume weighted average price of an Oceana share, calculated up to the close of trading on January 23. Tiger Brands is expected to further offload the remaining stake in Oceana later this year.
“Tiger Brands is proceeding with the necessary steps to complete the unbundling of the remaining 49.10 million Oceana shares during the second quarter of the 2019 calendar year,” Tiger Brands said.
Brimstone will increase its stake in Oceana from 16.98 percent to 22.88 percent once the transaction is concluded.