Hudaco Industries Limited (JSE:HDC) entered into an agreement to acquire Trading assets and liabilities of Brigit for ZAR 315 million on May 30, 2023. The Consideration will be funded from cash generation, existing and new facilities and paid as an initial amount of ZAR 143 million payable in cash on the Effective Date; and two tranches payable in cash on the first and second anniversary of the Effective Date, based on actual average levels of profitability achieved in each of those years. The Transaction is subject to the completion of several suspensive conditions by no later than August 24, 2023, including the satisfactory outcome of a due diligence review; approval from major suppliers and customers; the signing of a lease agreement over the primary premises; signing of a service agreement with the managing director; and Hudaco board approval and regulatory approvals.

It is also subject to Competition Commission approval by September 23, 2023. Shareholders are advised that all suspensive conditions have now been fulfilled so the acquisition is unconditional. The transaction is expected to close on September 1, 2023.