Nampak Glass has now officially been sold.
Nampak said in a statement on the JSE news service, Sens, on Friday that the final arrangements had now been made and that Nampak Glass now officially belongs to Isanti Glass 1.
The payment of R1.5 billion is expected to be made to him in cash before the end of Nampak’s half-year on March 31.
For Nampak, which suffered a loss of R390m for the year to end-September, the much-needed cash injection is not too early.
Nampak’s debt burden is worrying for him and caused him not to pay a dividend in November with his annual results. The board decided against this until the company could “significantly” lower its debt levels.
According to the company, the value of Nampak Glass’s net assets and liabilities is actually R1,73 billion when the losses were deducted. He, therefore, sells the division at a discount of 15%.
But for Nampak, the ultimate goal has always been to tackle its mountain of debt without losing some of its most profitable divisions.
Isanti, the buyer of Nampak Glass, is 60% owned by Kwande Capital, a black-owned investment company, and 40% owned by the South African Breweries (SAB).
