JSE-listed Transpaco has seen its deal to acquire Premier Plastics Proprietary Limited struck down by the Competition Commission. <\/p>\n\n\n\n
Transpaco has been informed by the Competition Commission that its acquisition of Premier Plastics has been prohibited. <\/p>\n\n\n\n
The company said that it is working through the Competition Commission’s response and is considering all available options.<\/p>\n\n\n\n
Announced last year, Transpaco would acquire Premier Plastics from Bundeena No 2 Proprietary Limited as trustee for J Rubenstein Superannuation Fund, Sixone Proprietary Limited as trustee for Tony Rubenstein Trust and Alessandra Bragazzi. <\/p>\n\n\n\n
Founded in 1991, Premier Plastics manufactures and supplies retail plastic carrier bags to fast-moving consumer goods retailers across South Africa.<\/p>\n\n\n\n
Its primary supply focus is Gauteng and the surrounding inland regions <\/p>\n\n\n\n
It has a manufacturing facility in Tshwane where it produces retail plastic bags from both virgin and recycled raw materials, with its process including extrusion, printing, bagging and in-house recycling.<\/p>\n\n\n\n
Transpaco previously said the deal offers the group an attractive opportunity to expand its market presence, especially in the retail and wholesale customer sectors. <\/p>\n\n\n\n
The group said its business model closely aligns with Premier’s and that the acquisition is expected to enhance its ability to serve customers. <\/p>\n\n\n\n
It was also drawn to Premier’s self-sufficient management team, with senior management having an average of 30 years’ experience in operating the business.<\/p>\n\n\n\n
It also noted that Premier had strong growth prospects with opportunities to further expand local and export markets. <\/p>\n\n\n\n
The purchase consideration payable for Premier Plastics is R128 million, less certain adjustments, plus interest calculated from the effective date to the closing date at prime overdraft rates.<\/p>\n\n\n\n
The consideration includes a premium of R29.4 million over the book value of the net assets acquired.<\/p>\n\n\n\n
For the financial year ending 30 June 2025, Premier generated turnover R503 million and a net profit after tax of R16.8 million. <\/p>\n","protected":false},"excerpt":{"rendered":"
The Competition Commission has blocked the R128 million deal where Transpaco would have acquired Premier Plastics. <\/p>\n","protected":false},"author":95,"featured_media":851899,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[24837,24836],"class_list":["post-851893","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-premier-plastics","tag-transpaco"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/851893","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=851893"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/851893\/revisions"}],"predecessor-version":[{"id":851905,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/851893\/revisions\/851905"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/851899"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=851893"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=851893"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=851893"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}