SABMiller Raising $968 Million Through Disposal
SABMiller has successfully raised ZAR7.6 billion (US$707 million) through sale of 293,896,315 ordinary shares in Tsogo Sun Holdings, the South African gaming, hotel and entertainment group, through a share placing. The balance of SABMiller’s 39.6% stake in in Tsogo Sun, being 133,584,599 ordinary shares, will be repurchased by Tsogo Sun, subject to Tsogo Sun shareholder approval, for an aggregate consideration of ZAR2.8 billion (US$261 million). SABMiller expects the Repurchase to be effective on or about 5 September 2014
“We are very pleased with the outcome of this offering of Tsogo Sun shares, which generated strong interest from the investment community,” says Alan Clark, chief executive of SABMiller. “We will seek to reinvest the net proceeds of this disposal in our core growth beverage businesses, including our African operations.”
SABMiller is the world’s second largest brewing company also one of the world’s largest bottlers of Coca-Cola drinks.
