Sovereign supports buy-out
JSe-listed Sovereign Foods Investments Limited announced that it has received a firm intention from a special purpose vehicle controlled by Capitalworks, a private equity firm focused on mid-market investments in South Africa, to acquire a controlling interest in Sovereign Foods, amounting to a R907 million all-cash buy-out offer.
The all-cash offer is priced at R12.00 per Sovereign Foods share, with a reinvestment option available to shareholders. Shareholders can reinvest by disposing of their Sovereign Foods shares for shares in the special purpose vehicle (Bidco), up to an aggregate 15% interest in Bidco following implementation of the offer. The offer is fully funded by Capitalworks and is not conditional upon any external funding.¡