Printer Friendly

Swicorp to advise on $79m Savola share swap.

Swicorp, a leading corporate finance advisory, is acting as exclusive financial advisor to Savola on the conditional SR298 million ($79.5 million) share swap between the Savola Group and the Alhokair Group.

The share swap will enable Savola to take full control of Azizia Panda United and was approved by the Savola board of directors recently.

Savola will issue 8.71 million shares to acquire Alhokair Group's 7 per cent minority position in Azizia Panda United. Moreover, Savola will pay SR20.7 million in cash to Alhokair in exchange for the latter's forfeit of the right to acquire 3 per cent of Panda over 3 years as set forth in the agreement between the two parties announced through Tadawul on October 12, 2009.

The transaction follows the other conditional swap transaction announced on August 23, 2010 through Tadawul whereby Savola will acquire Almuhaidib Group's current equity participations in Panda and Savola Foods Company against 37,634,409 shares of Savola to be issued.

The shares which will be issued to Almuhaidib and Alhokair under the two proposed swap transactions will represent 8.48 per cent of Savola's share capital post capital increase. Both transactions remain subject to regulatory approvals and to the endorsement by Savola's extraordinary general assembly which shall be specially convened.

Savola Group's managing director, Dr Abdelraouf Mannaa, stated that this step will represent an important milestone as a component of Savola's strategy of focusing and consolidating the group's interests in the retail sector in addition to food.- TradeArabia News Service

Copyright 2010 www.tradearabia.com

Copyright 2009 Al Hilal Publishing & Marketing Group

Provided by Syndigate.info an Albawaba.com company
COPYRIGHT 2010 Al Bawaba (Middle East) Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2010 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:TradeArabia (Manama, Bahrain)
Date:Sep 29, 2010
Words:273
Previous Article:Bahrain 'has no tainted baby food'.
Next Article:Bahrain companies to take part in Gitex.

Terms of use | Privacy policy | Copyright © 2021 Farlex, Inc. | Feedback | For webmasters