African Rainbow Capital sells BKB stake following arbitration
ARC said BKB had exercised its right and acquired and paid for the shares
Patrice Motsepe’s African Rainbow Capital (ARC) has chosen to abide by the decision of an arbitrator and will now dispose of its stake in agricultural holding company BKB. ARC acquired a 20% stake in BKB in November 2016 and later indicated that it wanted to sell its stake to Acorn Agri & Food, a private equity fund it has an interest in. But BKB disputed the proposed transaction on the basis that it had the first right of refusal to repurchase the shares at a price of R22 each. The two parties headed to arbitration in August and, following an appeal by ARC after an initial ruling in favour of BKB, it announced this morning via a Sens statement that BKB had exercised its right and acquired and paid for the shares, with a total value of R409.5m. thompsonw@businesslive.co.za
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