Zeder Investments Successfully Implements Capespan Disposal

In a significant move within South Africa’s agriculture sector, Zeder Investments Limited has successfully executed the disposal of its shareholding in Capespan Group Proprietary Limited. The transaction, previously announced on September 18, 2023, reached its conclusion on February 5, 2024, marking a pivotal moment for both Zeder and Agrarius Sustainability Engineered RF Limited, the acquiring entity.

Disposal Details

Zeder Financial Services Limited, a wholly-owned subsidiary of Zeder Investments Limited, finalized the sale of its Capespan shareholding to 3 Sisters Proprietary Limited, a special purpose acquisition vehicle. Notably, the disposal excludes Capespan’s pome fruit primary production operations and the Novo fruit packhouse, emphasizing a strategic focus in the transaction.

Funding and Implementation

Funding for the transaction was facilitated by Agrarius Agri Value Chain RF Proprietary Limited, which provided beneficial ownership and financial support to 3 Sisters Proprietary Limited. Agrarius, a JSE-listed special purpose investment vehicle, operates a ZAR10 billion Shariah-compliant sustainability-focused asset-backed note program, administered by 27four Investment Managers Proprietary Limited.

The completion of the disposal signifies the fulfillment of all remaining conditions precedent, enabling Zeder to receive approximately R511.39 million in consideration. This amount was facilitated through Sukuk issuances undertaken by Agrarius under its note program.

Key Stakeholders’ Roles

Conclusion

With the successful implementation of the Capespan disposal, Zeder Investments Limited strengthens its strategic position within the agriculture sector. The transaction underscores Agrarius’s commitment to sustainability-focused investments in South Africa’s agricultural value chain. Moving forward, stakeholders will monitor how both Zeder and Agrarius leverage this transaction to drive further growth and innovation within the industry.