Com­pa­nies &In­vest­ments

Finweek English Edition - - COMPANIES & INVESTMENTS -

ne­go­ti­a­tion skills. “Es­sen­tially we wanted them to draw on all the knowl­edge they had ac­cu­mu­lated over their un­der­grad­u­ate stud­ies and put it into ac­tion.”

While a deal that saw MTN buy­ing Reunert or African Bank merg­ing with Capitec might be tough to swal­low, there are some def­i­nite big money deals that might make some sense. For in­stance a merger be­tween Fa­mous Brands and food group Clover makes some sense con­sid­er­ing that there are lim­ited (size­able) op­tions on the fran­chise front for Fa­mous Brands.

The UCT stu­dents pro­posed a deal which saw Fa­mous Brands tak­ing 51% of Clover. They noted: “Syn­er­gies that are ex­pected from the ac­qui­si­tion in­clude Fa­mous Brands’ use of Clover prod­ucts, es­pe­cially milk and cheese, mar­garine, desserts and ice creams. The com­mon man­u­fac­ture of fruit juice, bot­tled water and ice cream will also pro­vide cost ef­fi­cien­cies. Fa­mous Brands will also be in­volved in the pro­mo­tion of Clover bev­er­ages within its stores.”

We’ve un­packed the deal a bit fur­ther in

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