Chile's CFR on Monday threatened to pull out its $1.3 bullion deal to buy South African drug maker Adcock Ingram if it does not win support from the state pension fund that ranks as Adcock's biggest shareholder.
"This not something you invest every weekend but I stress the point, it is very important to have the government support," Alejandro Weinstein, CFR Pharmaceutical's chief executive, told a conference call.
"If we don't have the support of the PIC, and what I mean by the PIC I mean the government, it is something that may make us look for alternatives for our investment in other emerging markets," he said.
Santiago-based CFR offered $1.3 billion in cash and shares, a bid Adcock the PIC rejected in "its current form".
The PIC, which manages more than 1 trillion rand ($97 billion) in government employee pensions, did not elaborate.
The PIC owns 14 percent of Adcock, according to Thomson Reuters data, but it stake is closer to 20 percent if funds under the custody of external managers are included.
Shares in Adcock were down 0.7 percent at 67.62 rand, lagging behind a slightly higher JSE All-share index.
Just R20 for the first month. Support independent journalism by subscribing to our digital news package. 
