Diageo, through its wholly-owned indirect subsidiary, Diageo Kenya Limited (“Diageo Kenya”), announces that it has served notice on East African Breweries PLC (“EABL”) of its intention to increase its equity stake in EABL up to 65% by means of a partial tender offer made to other shareholders of EABL. As at the date of this announcement, Diageo Kenya holds 50.03% of the issued share capital of EABL.
EABL, a public limited company incorporated under the laws of Kenya with registration number C. 5/34, is listed on the Main Investment Market Segment of the Nairobi Securities Exchange.
Diageo is offering to buy 118.39 million shares at 192 shillings ($1.59) each, amounting to a 40% premium over the market price. Due to rising consumption across the African continent, Diageo has been seeking to increase its stakes in African breweries and distilleries. Last year, in neighboring Tanzania, it raised its equity holdings in Serengeti Breweries.
Subject to receipt of the relevant regulatory approvals, details of the proposed partial tender offer will be set out in a tender offer document, which will be made available to shareholders of EABL. Diageo Kenya does not intend to make a takeover offer for EABL and will apply to the Capital Markets Authority in Kenya for an exemption from complying with the requirement to make a takeover offer.
The offer will close on March 10 of next year.
Plan to Attend or Participate in the Vibe Conference, Feb. 27 – March 1, 2023
To learn more about the latest trends, issues and hot topics, and to experience and taste the best products within the on-premise beverage community, plan to attend the Vibe Conference, Feb. 27 to March 1, 2023 at the Sheraton San Diego Hotel & Marina. Visit VibeConference.com.
To book your sponsorship or exhibit space at the Vibe Conference, contact:
Fadi Alsayegh Sales & Sponsorships Email: [email protected] Phone: 917-258-5174
Donna Bruns Sales & Sponsorships Email: [email protected] Phone: 936-522-6932
Charlie Forman Sales & Sponsorships Email: [email protected] Phone: 845-262-1041
Connect and follow Questex’s Vibe Conference and community at Facebook and LinkedIn.