CBA to take Rea Vipingo share forms

What you need to know:

The offer consists of Sh70 pay for each share and a cash top-up of Sh15 per share, payable immediately after the closure of the offer period. The deadline for accepting the offer is May 13.

Rea Vipingo Plantations majority owners have asked shareholders to return their acceptance forms for the Sh85 a share payout to any branch of Commercial Bank of Africa.

Those accepting the buyout offer can also drop the forms at brokers’ office. Rea Vipingo last traded in December 2013 at a closing price of Sh27 a share meaning shareholders are getting a huge premium, an indication there is likely to be a massive take-up of the offer.

The offer consists of Sh70 pay for each share and a cash top-up of Sh15 per share, payable immediately after the closure of the offer period.
The deadline for accepting the offer is May 13.

“Rea Trading is offering to buy all ordinary shares at the price of Sh70 for each share held by shareholders of Rea Vipingo Plantations Limited plus an additional cash top-up of Sh15 per share that Rea Trading has decided it will elect to pay immediately after the closing date,” said an advertisement appearing in the Daily Nation on Wednesday.

Rea Trading owned by two brothers, Richard and Jeremy Robinow, got involved in a bidding war with Centum Investment for the listed plantations company last year.

However, the protagonists struck a deal this year that will see Centum Investments buy 10,546 acres of agricultural land at the coast for Sh2 billion.