The Star Early Edition

PIC raises its PPC stake to over 25%

Firm has been the sub­ject of merger and takeover of­fers

- Roy Cokayne

THE PUB­LIC In­vest­ment Cor­po­ra­tion (PIC) has in re­cent weeks been in­creas­ing its share­hold­ing in PPC, which has been the sub­ject of sev­eral merger and takeover of­fers, and now owns a 25.058 per­cent stake in the listed ce­ment and lime pro­ducer.

PPC said on Fri­day the PIC now owned more than a quar­ter of the to­tal or­di­nary is­sued share cap­i­tal of the com­pany.

In March this year, the PIC in­creased its share­hold­ing in PPC to 15.116 per­cent and sub­se­quently in­creased it fur­ther to 21.221 per­cent in Oc­to­ber.

Sev­eral other com­pa­nies have also in­creased their share­hold­ing in PPC in re­cent weeks and months.

Ac­quired

In Oc­to­ber, Pru­den­tial In­vest­ment Man­agers, on be­half of its un­der­ly­ing clients, ac­quired a 15.18 per­cent stake in PPC, and H4 Col­lec­tive In­vest­ments on be­half of the H4 Qual­i­fied In­vestor Hedge Fund Scheme for the Value Ac­tive PFP H4 QI Hedge Fund ac­quired a 5.01 per­cent share­hold­ing.

Mazi As­set Man­age­ment ac­quired a 5.11 per­cent share­hold­ing in PPC on be­half of its clients in Fe­bru­ary while In­vestec on be­half of its clients ac­quired a 5.0908 per­cent stake in PPC in Novem­ber last year.

Late last month, PPC re­ported that it had re­ceived a cred­i­ble ex­pres­sion of in­ter­est from La­fargeHol­cim to com­bine some of their African as­sets.

This fol­lowed PPC in Septem­ber re­port­ing that, apart from an of­fer from AfriSam and Fair­fax Africa, it had re­ceived two in­dica­tive pro­pos­als from other uniden­ti­fied in­dus­try play­ers.

Dan­gote Ce­ment, Africa’s big­gest ce­ment pro­ducer, in Septem­ber re­ported that it was con­sid­er­ing a merger with PPC, but early last month with­drew its of­fer.

Mazi As­set Man­age­ment ac­quired a 5.11% share­hold­ing in PPC on be­half of its clients in Fe­bru­ary

PPC said late last month the non-bind­ing ex­pres­sion of in­ter­est from La­fargeHol­cim con­tem­plated a com­bi­na­tion of cer­tain African as­sets, a par­tial cash of­fer and a spe­cial div­i­dend. It said La­fargeHol­cim, fol­low­ing the com­ple­tion of a due dili­gence process, in­tended to sub­mit a firm in­ten­tion of­fer dur­ing the week com­menc­ing on Novem­ber 20.

PPC said the process in re­spect of the Fair­fax Africa In­vest­ments par­tial of­fer an­nounced on Septem­ber 4 was still pro­ceed­ing con­cur­rently with the con­sid­er­a­tion by the in­de­pen­dent board of the ex­pres­sion of in­ter­est and its con­se­quen­tial en­gage­ment with La­fargeHol­cim.

PPC chair­man Peter Nel­son pre­vi­ously said the in­de­pen­dent board would eval­u­ate ev­ery bona fide pro­posal with the po­ten­tial to un­lock value for share­hold­ers.

Shares in PPC closed 1.06 per­cent lower on the JSE on Fri­day at R7.47.

 ?? PHOTO: SIM­PHIWE MBOKAZI/ANA ?? PIC chief ex­ec­u­tive Dr Dan Matjila. The PIC now owns more than a quar­ter of the to­tal or­di­nary is­sued share cap­i­tal of PPC.
PHOTO: SIM­PHIWE MBOKAZI/ANA PIC chief ex­ec­u­tive Dr Dan Matjila. The PIC now owns more than a quar­ter of the to­tal or­di­nary is­sued share cap­i­tal of PPC.

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