Picture: 123RF/MONSIT JANGARIYAWONG
Picture: 123RF/MONSIT JANGARIYAWONG

Niche financial services group Ecsponent said on Thursday it was seeking to take a 45.6% stake in Botswana-based seed distributor Crosscorn.

The company would buy 26.5% of the common shares in Crosscorn, which has a more than 50% market share of maize seed sales in Botswana. It also sells close to half of the country’s sorghum, cowpeas and animal-fodder seeds.

Ecsponent would acquire 19.25% of Crosscorn in exchange for the issue of 101.3-million of its shares to Scipion Active Trading Fund, which now fully owns the seed-distributor.

Ecsponent’s share has lost about a third of its value in 2019, closing at 7c on Tuesday, putting the value of 101.3-million shares in the company at about R7m.

The effective date of the transaction is December 31.

gernetzkyk@businesslive.co.za

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