LONDON listed Atlas Mara plans to acquire the remaining 4,2% equity stake owned by minorities in pan African financial services group ABC Holdings (ABCH) by mid October and take full control of the company.
ABCH group CEO Douglas Munatsi on Wednesday told the bussinessdigest in an interview on the sidelines of a press briefing that the equity stake will be out on the market on September 15.
“When the shares are on the market, the shareholders get 21 days to either sell or convert into Atlas Mara shares. If they do not respond, then they will have to be squeezed out in terms of the Zimbabwe Stock Exchange (ZSE) rules,” Munatsi said.
Munatsi said upon conclusion of the transaction, ABCH would delist on the ZSE. He added that the company was compliant with indigenisation as most shareholders took shares in the London listed company, in line with what was approved by government.
“It is quite a process,” Munatsi said.
He said Atlas Mara had set aside US$100 million for capital for its banks in Zimbabwe, Botswana and Zambia.
Last month, Atlas Mara announced it had obtained approval for its share-for-share swap with African Development Corporation (ADC) which owned 38% shareholder in BancABC.
Munatsi said the transaction effectively gave Atlas Mara, which already had a majority stake in the group, 95.8% control.
In a notice last month, Atlas Mara said completion conditions were satisfied for the voluntary public offer of Atlas Mara for ADC.
“Further to the 95% acceptance rate of the voluntary public offer to the shareholders of ADC African Development Corporation AG (“ADC”) for which the acceptance period expired on July 31 2014 (the “Offer”), Atlas Mara Co-Nvest Limited (“Atlas Mara” or the “Company”) announces that the completion conditions necessary to settle the offer have been satisfied. Settlement will take place in accordance with the terms and conditions of the offer document,” the company said yesterday.