Battle royale for control of PPC averted as Dangote bows out
Phuthuma Nhleko's AfriSam sole concrete bidder for PPC after Nigerian withdraws
A potential battle between two of Africa's richest men for control of South Africa's oldest and biggest cement producer, PPC, was averted on Friday when Nigerian billionaire Aliko Dangote ended talks to acquire the 125-year-old company. Dangote looked set to do battle with Phuthuma Nhleko's AfriSam, which has been in merger talks for the past seven months. News of the cancellation of talks sent PPC shares tumbling as much as 9%.Dangote Cement a few weeks ago had approached PPC with a non-binding merger offer that rivalled Nhleko's cash and shares bid for PPC.The Public Investment Corporation (PIC), the largest shareholder in PPC and AfriSam's 60% investor, has come out in support of a combination of South Africa's largest cement producers. The PIC also owns shares in Dangote Cement. An insider in the PPC-AfriSam talks accused the PPC board and its chairman, Peter Nelson, of manipulating the company's shares higher by feeding speculation of competing bids without giving the market an...
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