Thembeka, Kaap Agri in R117m deal

Thembeka Capital has increased its agricultural interests in a deal with Kaap Agri.

Unlisted Kaap Agri, whose head office is in Malmesbury in the Western Cape, announced at its annual meeting on Thursday that it had finalised a deal with Thembeka Capital as part of a broader BEE ownership strategy worth R117-million.

The deal will result in the operating company of the Kaap Agri Group, Kaap Agri Bedryf, having 25% plus one share black ownership.

In accordance with the deal 31030666 shares representing 15% plus 1 share in Kaap Agri Bedryf have been issued to Plurispace, a wholly owned subsidiary of Thembeka Capital.

At R2.27 per share Thembeka has paid 50% of the issue price in cash. The balance will be paid via an interest-bearing loan from Kaap Agri Bedryf.

A trust has also been established, with farm-worker communities and family of staff as beneficiaries.

Altogether 10343555 shares, representing 5% of Kaap Agri Bedryf's issued share capital, will be issued to the trust. The issue is being funded by an interest-bearing loan from Kaap Agri Bedryf. -