Shareholders Approve Seprod Share Increase
Shareholders at an extraordinary general meeting on Monday voted to increase Seprod’s authorized capital by 250 million ordinary shares. That is a nearly 50 per cent increase on the 516.97 million units outstanding
Seprod closed trading last Friday at $35.63 for a total market value of $18.4 billion.
The increase is a necessary first step in Seprod’s bid to buy 100 per cent of Facey Commodity's Consumer division. A portion of the new shares will be issued to Musson's subsidiary, Facey Group Limited as part payment for Facey Consumer.
Seprod CEO Richard Pandohie says Facey Group will receive a mix of cash and shares for the acquisition. It is not yet clear how much of the authorized shares will be used in the transaction.
Pandohie says that with this step out of the way the process will continue to arrive at proper company valuations.
Under the deal, Seprod will acquire warehousing space and real estate at 53 and 61 Newport Boulevard at Newport West, Kingston as well as food brands such as Eve and Delight.