Al Futtaim Group said it has acquired 79.3 per cent shareholder approval for its planned takeover of Kenya’s CMC Holdings.
The Dubai-based conglomerate announced an offer in September of last year to acquire 100 per cent of the Nairobi-based car retailer at 13 Kenyan shillings (55.3 fils at current rates) per share, via its Al Futtaim Auto & Machinery Company (Famco) subsidiary.
The offer was at a 3.7 per cent discount to CMC’s last traded price, and valued the company at 7.58bn shillings.
The offer expired at 6pm UAE time today. The offer was initially scheduled to expire on February 14, but Al Futtaim extended that deadline by four days on February 13.
The final percentage of shareholders approving the deal is due to be made public on March 4.
Al Futtaim intends to delist the company from the Nairobi Securities Exchange upon completion.
The conglomerate had initially required holders of more than 75 per cent of the company’s shares to approve the deal. However, Al Futtaim said on February 14 that this condition had been waived.
Kenya’s competition authority formally approved the takeover on February 7.
CMC Holdings is Kenya’s fourth largest car dealership by sales. The company’s shares have been suspended from trading since September 2011, pending an investigation into a dispute between directors.
jeverington@thenational.ae
