Sector News

South Africa’s Clover Industries receives $358.2m buyout offer

February 5, 2019
Food & Drink

South African dairy and beverage company Clover Industries has received a buyout offer from investors led by Israel’s Central Bottling Company (CBC) that values the firm at ZAR 4.8 billion ($358.2 million).

The acquiring group, operating as Milco SA Proprietary, offered ZAR 25 a share for the Johannesburg-based firm.

Milco is 60% owned by CBC subsidiary International Beer Breweries, with other investors including IncuBev, Brimstone Investment Corporation and the executive management of Clover.

CBC manufactures and distributes Coca-Cola branded soft drinks beverages in Israel and is the owner of Tara Dairy.

Shares in Clover increased by more than 20% on Monday after the buyout offer was announced. The company’s segments include: dairy fluids, dairy concentrated products, ingredients, non-alcoholic beverages and fermented products.

Employing more than 8,500 people, Clover’s footprint extends across South Africa and sub-Saharan Africa.

Milco said it believes that Clover presents a “uniquely attractive investment given its expansive chilled distribution capability, strong market position for key brands and an experienced management team”.

Milco intends to combine its capabilities with those of Clover to unlock value through key strategic initiatives, primarily aimed at accelerating sales, distribution and efficiency opportunities within Clover’s product portfolio in South Africa, with expansion into select sub-Saharan Africa territories.

Source: FoodBev

comments closed

Related News

September 12, 2021

Roquette opens a plant protein center of expertise in Vic-sur-Aisne, France

Food & Drink

The new center of expertise illustrates Roquette’s strategy of making its Vic-sur-Aisne site a dedicated place for plant protein development. This center will be a major asset to design the future technological processes that will bring new plant protein properties.

September 12, 2021

Cargill opens $150m pectin processing plant in Brazil

Food & Drink

The new state-of-the-art facility will prioritise “sustainable production with advanced CO2 emission reductions and biomass reuse,” a company statement said. It will also enable Cargill to meet increasing demand for clean label texturising ingredients.

September 12, 2021

Azelis IPO to raise US$1B on Belgian stock market

Food & Drink

The move will assist in repaying outstanding debt (circa €1.6 billion or US$1.9 billion), while providing the company with increased financial flexibility. The IPO is also expected to support Azelis’ growth strategy and future acquisitions by providing funding and giving it access to capital markets.

Send this to a friend