Dekeloil makes significant stake in Tiebissou project ahead of schedule
West African focused agricultural company Dekeloil has acquired an initial 43.8% interest in the Tiebissou cashew processing project in Cote d'Ivoire via an investment into Pearlside Holdings.
Dekel Agri-Vision (DI)
1.31p
14:15 28/03/24
Food Producers & Processors
7,642.46
15:44 28/03/24
FTSE AIM All-Share
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15:45 28/03/24
Dekeloil said the early acquisition was a result of both the substantially lower valuation of €6m it secured in its new agreement and the significant premium at which its new consideration shares were issued.
The AIM-listed outfit will issue 52.45m new ordinary shares at a price of 4.5p each to cover the transaction, a premium of 46.3% to its closing price on 20 December.
Dekeloil will also hold an option to acquire a further 20.5% interest in Pearlside, the parent company of Tiebissou's operator Capro.
Executive director Lincoln Moore said: "The early acquisition of a 43.8% interest in Tiebissou is a significant event for DekelOil and one which we believe will generate long-term value for shareholders."
"The share price premium is an endorsement of our vision to build a multi-project, multi-commodity agriculture company, the strategy we have in place to achieve this and our management team which."
As of 1100 GMT, Dekeloil shares had shot up 12.20% to 3.45p.