BOC Kenya #ticker:BOC shareholders will have to wait longer to inspect a Sh1.24 billion takeover offer after the gas producer asked for more time to resolve undisclosed issues.
The bid, made by its rival Carbacid Investment #ticker:CARB and its majority shareholder Baloobhai Patel in late November, was to be served to the owners on February 5 after an initial extension from January 5.
“This is to allow for consultations pertaining to certain issues that have arisen relating to the proposed transaction and which impact the takeover documents,” the firm said in a notice on Friday without stating when the papers would be released.
Last month, BOC said its independent advisor needed additional time to value the firm and give an opinion before it could make its recommendation to shareholders.
Carbacid is teaming up with its single-largest shareholder Mr Patel to make a joint bid for BOC due to a quirk in corporate ownership rules.
BOC already owns a 5.83 percent stake in Carbacid and the law bars subsidiaries from owning shares in their parent companies. Carbacid could later buy the balance of the BOC shares from Mr Patel.
At its virtual annual general meeting held on Friday last week, Carbicid disclosed that Dublin-based Linde Group approached it to acquire its local subsidiary BOC.
Linde, BOC Kenya’s major shareholder with a 65.38 percent stake held through its subsidiary BOC Holdings, has agreed to tender its shares to Carbacid.
BOC had earlier tried to buy Carbacid in 2005 but the deal collapsed due to regulatory roadblocks.
BOC’s main business lines are medical and industrial gases, while Carbacid has a carbon dioxide business catering to producers of fizzy drinks.