South Africa: Premier Foods to acquire RFG Holdings

UK food manufacturer Premier Foods has announced plans to acquire South African food producer RFG Holdings through a share swap that will see RFG shareholders collectively owning approximately 22.5% of the enlarged Premier Group.

Founded in 1896 in Groot Drakenstein, Western Cape, RFG specialises in convenience foods for local and global markets. Its portfolio includes Rhodes canned vegetables and juices, Pakco curry powders and Man’s Meal pies, alongside private label production for major retailers, operating 14 facilities across South Africa and Eswatini.

Commenting on the move, Premier Foods chief executive officer Kobus Gertenbach said: “RFG is a highly attractive acquisition opportunity for Premier, with its market-leading position in convenience meal solutions, strong market share positions across key product categories and its portfolio of well-established brands”.

“While our two businesses share common customers, there is no overlap in the products and categories in which RFG and Premier operate”, he added. “RFG therefore represents a complementary addition to the Premier portfolio, with limited integration risk”.

The transaction is subject to approval by RFG shareholders as well as competition and regulatory authorities.

Source: Premier Foods / RFG