Canada’s Fairfax Africa Investments Proprietary will not proceed with a plan to buy 23% of cement producer PPC for R2 billion ($146.34 million), the South African company said on Monday.
Last month PPC’s board said it had advised Fairfax that it would not be recommending the Canadian company’s partial offer to shareholders.
“On 8 December 2017, the Independent Board received Fairfax’s formal notification that it will not proceed with the partial offer and that, accordingly, the Fairfax partial offer circular will not be posted to PPC shareholders,” PPC said in a statement.
The Takeover Regulation Panel had granted Fairfax an extension to post its partial offer circular until December 12.
Fairfax offered to buy 23% of PPC in September for R5.75 per share, or R2 billion, on condition that it was approved by shareholders in order to allow a merger with South African rival cement maker AfriSam.
($1 = R13.66)