- Nampak SA has agreed to sell a 51.43% stake in Nampak Zimbabwe to TSL Limited for US$25 million
- The acquisition aligns with TSL's strategy to expand into complementary businesses, enhancing synergies with its existing packaging and logistics operations
- For Nampak SA, this sale is part of a broader strategy to divest from high-risk markets due to macroeconomic challenges and rising debt
Harare-Nampak South Africa Limited (Nampak SA), a leading packaging company listed on the Zimbabwe Stock Exchange (ZSE), has finalised an agreement to sell a 51.43% stake in its Zimbabwe operations, Nampak Zimbabwe, to TSL Limited for US$25 million.
The transaction, announced in a latest company press release, awaits the fulfilment of specific conditions for completion.
“Following our cautionary announcement on March 17, 2025, regarding the proposed disposal of a 51.43% shareholding by Nampak Southern Africa Holdings Limited (the Seller), we confirm that the Seller and TSL Limited (the Purchaser) have signed a sale and purchase agreement. This agreement remains subject to several conditions,” Nampak Zimbabwe said.
As part of the deal, TSL is obligated to extend a mandatory offer to Nampak Zimbabwe’s remaining shareholders, which can be settled in cash or through a share swap, providing flexibility for shareholders.
Nampak Zimbabwe, the country’s largest packaging manufacturer, produces PET bottles, crates, containers, and lids, serving major clients such as Delta Beverages, which holds a 22% stake in the company.
For TSL Limited, a diversified group with interests in agriculture, logistics, and packaging, this acquisition aligns with its strategy to expand into complementary businesses.
TSL’s existing operations, including its packaging subsidiary Propack and logistics arm Bak Logistics, position it to unlock synergies in distribution and supply chain integration through this deal.
For Nampak SA, the sale is a key component of a broader divestment strategy driven by macroeconomic challenges and rising debt.
The company has recently exited other high-risk markets, including Angola, Nigeria, and Zambia, to streamline operations and strengthen its financial position. The US$25 million from this transaction will further support these efforts.
The sale provides significant financial relief for Nampak SA, with the US$25 million proceeds helping to reduce its debt burden.
By divesting its majority stake in Nampak Zimbabwe, Nampak SA minimizes exposure to Zimbabwe’s unpredictable economic and regulatory environment, aligning with its strategy to exit high-risk markets.
This move enables the company to concentrate resources on its core operations in South Africa, where it can pursue more stable growth opportunities.
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