PPC calls off merger talks with AfriSam

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27-03-2015
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Moneyweb
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PPC received an offer in December to merge with AfriSam to boost the companies’ African expansion plans. PPC, South Africa’s biggest cement company, said it won’t proceed with a proposed merger with local competitor AfriSam Group. “The board has considered the proposed merger and its merits, and has decided not to proceed,” Johannesburg-based PPC said in a statement on Friday. “The board has therefore terminated its engagement with AfriSam.”

PPC received an offer in December to merge with AfriSam, South Africa’s second biggest cement maker, to boost the companies’ African expansion plans. A tie-up was supported by the Public Investment Corp., Africa’s biggest money-manager responsible for most South African government-worker pension funds and an investor in both companies. PPC shares gained 2.5% to R18.40 as of 12:03 pm in Johannesburg, paring this year’s decline to 33%. That values the company at R11 billion ($914 million).