Global US-based Seaboard Corporation has said it will pay Unga Group shareholders who accepted its offer a cash offer price of Sh40 per share. This is an indication that the share price offer has not changed even after resistance from other minority shareholders that it was on the lower side.
“The board deems it consistent with valuations of the business as a viable going concern and in line with normal share price performance for the counter,” Unga Group’s board said earlier this year. Seaboard had been given until June to review its offer, but it would seem that they were not going to offer a higher price.
In a public notice in conjunction with Unga’s largest shareholder Victus Limited, Seaboard said it has fulfilled all the conditions of its offer “and the offer has become unconditional in all respects.”
Seaboard, which already owns 2.92 per cent shares in Unga, wants to acquire 46.15 per cent of issued shares in Unga that Victus does not already own.
“In accordance with the terms of the Seaboard Offer, Seaboard has decided to waive the minimum acceptance threshold and intends to complete the acquisition of the shares for which acceptances have been received,” the notice reads.
Seaboard also intends to delist Unga from the Nairobi Securities Exchange (NSE). The notice further reads: “It remains the intention of Seaboard to proceed with its proposal to seek a delisting of the company from the NSE at an Extraordinary General Meeting to be convened in due course.”
Transfer of Shares and Payments
The transfer of shares from Unga Shareholders that accepted the offer to Seaboard started on July 26 while cash payments to the shareholders will be made from August 2, 2018.