Country Bird urged to act to increase Sovereign stake
COUNTRY Bird Holdings (CBH) should tie down the floating 8% of Sovereign Food shares it needs to take its stake beyond the crucial 25% level, Vunani Securities analyst Anthony Clark said on Tuesday.With signs that the 8% of shareholders who are opposed to the Sovereign board’s plans for the company are now battle weary and keen to dispose of their shares, Clark said CBH must make a move. CBH would have to scoop up the shares if it wanted any chance of getting control of its listed competitor.At the end of June, CBH announced a conditional R9 a share offer for Sovereign. The conditions included that Sovereign’s plans to implement a controversial BEE scheme, giving BEE partners and top management a 28% stake in the company, were not implemented.CBH chairman Kevin James said on Monday he was prepared to continue doing battle for control of Sovereign. He also said he was considering his legal options in the wake of the unexpected adjournment of Monday’s meeting called to vote on the con...
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