Nampak says tribunal has approved sale of its glass business
The Competition Tribunal has given approval for the packaging manufacturer to sell its glass business, subject to conditions
Africa’s largest diversified packaging manufacturer Nampak said on Tuesday that the Competition Tribunal has approved the disposal of its glass business, although certain conditions need to be fulfilled.
Conditions imposed by the tribunal are acceptable to the parties, Nampak said, with one condition still outstanding, related to certain material licences and permits.
Nampak did not give further details, saying it would update the market again before the end of March.
Nampak said in September that it had agreed to sell its glass business to Isanti Glass 1, an entity made up of a black-owned investment company and a local subsidiary of beer maker AB InBev, for about R1.5bn.
The glass business is one of two, primary glass container manufacturers in SA servicing beverage and food manufacturers, with an estimated market share of 25%.
Nampak has previously said that selling the glass business would enable it to focus on the metals business, which generates more than 60% of the company’s trading profit.
In afternoon trade on Tuesday, Nampak’s share price was down 2.17% to R4.50, having lost 64.45% over the past 12 months.
With Siseko Njobeni