Pretoria Portland Cement (PPC) has decided against a merger with fellow cement company, AfriSam, it said on Friday.
The JSE-listed company said it was not able to reach consensus with AfriSam on the terms of the merger and therefore terminated the discussions.
“Over the last few months, we applied our minds extensively to the proposed merger with AfriSam. Ultimately we decided not to proceed with the proposed deal,” said [DATA PPC:PPC] CEO, Darryll Castle.
On 10th December 2014, it was announced by PPC that it had received a conditional, non-binding merger proposal from AfriSam Group.
“In lieu of confidentiality agreements between the two parties, the company is unable to elaborate on the detailed reasons for this termination,” PPC said.
“The board remains committed to its strategy of enhancing the company’s position in Southern Africa and expanding its footprint into other African countries.”
(READ MORE: PPC Africa expansion on schedule)
It added that an update will be given at the time of the company’s interim results on 19 May 2015.