Olam International Limited, a Singaporean agro-allied company, which had offered to acquire Dangote Flour Mill Plc for N130 billion yesterday announced a reduction of the bid price to N120 billion.
However, in DFM, in another notification to the NSE yesterday, said it received from CFM and Olam, an addendum dated August 1, 2019 to the bidding offer dated April 23, 2019 made to DFM by Olam to acquire all the outstanding and issued shares of DFM that are not owned by Olam through CFM. Before now, a director of DFM, Mr. Thabo Mabe, had said the transaction would be on the basis of debt free, cash free, payable in cash at the closing of the proposed transaction.
Tiger Brands, a South African firm had in 2012 bought a 63 per cent stake in Dangote Flour and pasta maker, but few years down the line the Dangote Group bought back the company after the new owners sustained losses repeatedly on its operations.