JSE-listed PPC’s board on Wednesday advised shareholders not to accept the R2-billion partial offer from a Fairfax subsidiary.
The partial offer is conditional on shareholder approval, which will give effect to a merger between PPC and AfriSam Group.
“[We] are taking into account various considerations including, the views of an independent expert, PPC’s own valuation work, PPC forecasts and recent financial and business performance, the need for payment of a control premium, feedback from shareholders and the independent board’s assessment of risks associated with the partial offer,” the company said in a statement on Wednesday.
The JSE-listed company further said its independent expert, having considered two possible outcomes of the proposed merger, found the offer unfair and unreasonable.
Meanwhile, the construction company noted that it was continuing its engagements with CRH and LafargeHolcim regarding their respective nonbinding expressions of interest.