PIC seeks independent valuation in US$359m Karan Beef acquisition deal

SOUTH AFRICA – The Public Investment Corporation is in the process of getting an independent valuation for its bid in acquiring a majority shareholding in Africa’s largest feedlot, Karan Beef. In October last year, the PIC confirmed it was set to acquire a majority shareholding in Karan Beef in the deal us$359.52 million (R5.2bn) that seeks to reposition the firm as a major driver in transforming the agricultural sector.  Tshifhango Ndadza, a senior market risk analyst at the PIC, affirmed that the deal had been presented to various PIC committees, reports…

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Commission approves Karan Beef Holdings merger

SOUTH AFRICA – The proposed merger of Karan Beef Holdings with Karan Beef and Karan Beef Feedlot was approved by the Competition Tribunal with certain conditions reports, Fin 24. Karan Beef Holdings is a newly incorporated special purpose entity, established for the proposed transaction. Karan Beef is involved in cattle slaughtering, deboning, packaging and selling beef carcasses and cuts while Karan Beef Feedlot purchases calves from breeders and feeds them a special feed until maturity. The Competition Commission, which assesses large mergers before referring them to the Tribunal for a…

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Karan Beef and PIC deal to go ahead despite collusion fine

SOUTH AFRICA – The Competition Commission has said that Karan Beef’s collusion fine may unlikely affect its buyout deal with the Public Investment Corporation (PIC), reports Business Day. “In no way does this investigation into Karan Beef and the fine affect the PIC’s deal with Karan Beef,” said David Maimela, the commission’s acting chief of staff. This came after PIC and Pelo Agricultural Ventures said they would buy Karan Beef, Africa’s largest feedlot for US$365 million. PIC processes 2,040 head of cattle daily and debones up to 300 tonnes of…

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PIC and Pelo agrees to buy Africa’s largest feedlot Karan Beef for US$365m

SOUTH AFRICA – The South African state owned entity, Public Investment Corp. and black-owned investment firm Pelo Agricultural Ventures have acquired a majority stake in Karan Beef, which operates the largest cattle feedlot and abattoir on the continent, reports IOL Business. According to Pelo Agricultural Ventures CEO, Aobakwe Kukama, Pelo will work with Karan’s existing management to grow the company. “We are extremely proud to be part of this ground-breaking transaction and looking forward to working closely with the existing management team to grow the company,” he said. Talks about…

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SA management considers buying the largest African feedlot valued at US$450m

SOUTH AFRICA – The management of the largest cattle feedlot in the continent, Karan Beef (Pty) Ltd is planning to acquire part or all of the firm from its owner Ivor Karan in a deal that values it at US$450 million, according to people familiar with the matter. An article by Bloomberg revealed that Karan Beef’s management may consider approaching the Public Investment Corporation (PIC), a public investment entity to help it with funding. The people said depending on the funding available, the management will acquire either part or all…

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