Wednesday, Jun 12, 2013
BEIRUT (Zawya Dow Jones)--Saudi Arabia's Almarai Co. (2280.SA) said on Wednesday that the Isle of Man's high court has approved the planned acquisition of all the share capital of Continental Farmers Group (CFGP.LN), valued at 61.5 million, by its affiliate United Farmers Holding Co., or UFHC.
Almarai, the Persian Gulf state's biggest dairy producer, said in a statement posted on the Saudi bourse website on Wednesday that with this approval "the acquisition will become effective" on Thursday.
UFHC, a Saudi firm that invests in the cultivation of fodder and agricultural crops overseas, is 33% owned by Almarai with the remaining stakes held by Saudi Agricultural and Livestock Investment Co. and Saudi Grains and Fodder Holding Co.
UFHC and Continental Farmers reached an agreement in March on the terms of a recommended cash offer for CFG, which values the company at 61.5 million pounds, including any deferred consideration.
CFG is a diversified agricultural producer incorporated in the Isle of Man that has under management about 23,400 hectares in Ukraine and 2,700 hectares in Poland.
Almarai said in March that the acquisition will be paid for through loans from UFHC's shareholders each in proportion to its percentage stake.
Write to Shikrallah Nakhoul at shikrallah@zawya.com
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(END) Dow Jones Newswires
12-06-13 0853GMT
