Omnia Group (Pty) Ltd has entered into a sale of shares agreement with Lubricant Additives Solutions and Technology (Mauritius) and Autumn Storm Investments 294 (Pty) Ltd for 90% of the ordinary shares of Umongo Petroleum (Pty) Ltd.
Umongo is a leading distributor of additives, base oils and other related petroleum, oil and lubricant products in South Africa and sub-Saharan Africa.
The deal is for a maximum aggregate acquisition consideration of ZAR780 million.
The remaining 10% shareholding in Umongo will continue to be held by Autumn Storm.
Following the implementation of the transaction, Umongo will become a subsidiary of Omnia and report under the Chemicals division in the consolidated results. Umongo will continue to operate as a separate stand-alone entity within Omnia.
The closing date for the transaction will be the last day of the month in which the last of the outstanding conditions precedent are fulfilled or waived. The effective date for the Transaction is 1 March 2017, notwithstanding the signature date of the agreement and the closing date.
The transaction is subject to the fulfilment and/or waiver of a number of conditions precedent that are customary in a transaction of this nature.
Read the article online at: https://www.hydrocarbonengineering.com/refining/15052017/omnia-to-acquire-umongo-petroleum-proprietary-ltd/