Tiger Brands to sell processed meats business for $24.7m

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South African food producer Tiger Brands will sell its processed meats business through two separate deals for a combined 428 million rand ($24.7 million), it said.

The disposal of the business, which was closed temporarily in 2018 after the world’s biggest listeriosis outbreak, is part of a strategic review initiated before that outbreak and concluded that the business was “not an ideal fit” within the group’s portfolio.

Molare, one of South Africa’s largest piggery businesses and one of the main suppliers to the abattoir operation, will pay 117 million rand for its acquisition while Silver Blade will pay 311 million rand for the factories. The company is facing a class action lawsuit over its role in the listeriosis outbreak, which killed more than 200 people in South Africa and was traced back to a factory run by Tiger Brands-owned Enterprise Foods.

 

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