InteliChem Group, the Stellenbosch-based provider of crop solutions to the agricultural industry, has announced a transaction whereby diversified majority black-owned and -controlled investment company, Masimong Holdings, acquired a 47,6% interest for an undisclosed sum in the company.
Intelligent crop solutions
The transaction paves the way for one of the first major black empowerment transactions in the agricultural input sector. All conditions were met and the transaction became effective on 30 October 2019.
The shareholding originated from the Agri-Vie private equity fund exiting InteliChem due to the expiry of the fund’s term.
Making the announcement, InteliChem CEO Gideon Hefer said that the Masimong shareholding will complement the vision of InteliChem to grow its intelligent crop solutions offering and contribute to the inclusive growth of the South African agricultural industry.
“As a group with a broad footprint in South Africa, we have engaged in a comprehensive transformation plan as part of our future growth path. The involvement of Masimong is an important building block in the execution of this strategy.
“Masimong is an important strategic partner that will not only help to elevate the group and its profile, but also assist the group to expand its leading role in the input sector,” Hefer said.
A key investment sector
Masimong identified agriculture as a key investment sector and has already confirmed its intent with previous investments in both the primary and secondary agricultural sectors. The company is in the process of investigating other investment opportunities in the sector and believes there are exciting growth opportunities in the South African market.
Masimong CEO Althea Discala said: “We are excited to join InteliChem as a key shareholder as part of our vision towards making strategic investments in the agricultural industry. The complementary vision of the two enterprises will provide unique opportunities that would be mutually beneficial.”
Both parties believe there are a number of opportunities for collaboration, where Masimong could assist InteliChem in its growth initiatives.
Masimong is a diversified majority black-owned and -controlled investment company focused on driving sustainable long-term growth, and value creation of sizeable listed and unlisted businesses in its investment portfolio.
Masimong has firm roots in the mining industry, with mining investments comprising the largest portion of its portfolio. It has, however, diversified into agricultural and financial services as well as industrial investments to take advantage of value-creation opportunities.
The group is strategically committed to continuously growing its asset base within these four core sectors, and aims to create a best-in-class investment company that makes a significant contribution to the growth and development of South Africa as a nation.
The InteliChem group of companies is a provider of crop solutions to the agricultural industry and is represented through a combination of high growth companies in crop protection, speciality plant nutrition, product development, seeds as well as independent and impartial consultation services.
The group is committed to continuously offering specialist products and services as a holistic set of solutions for crop production. Through the years a unique and differentiated portfolio of complementary businesses and solutions have been developed. This enables InteliChem to offer a comprehensive value proposition to its customers in order to optimise yields and quality while mitigating risks in the quest to enhance sustainable agriculture.
The InteliChem group strives to remain the trusted business partner to growers by providing intelligent crop solutions. We believe that through our innovative in-house registrations, comprehensive product portfolio and wealth of expertise, the InteliChem group can fulfill this role in a dynamic agricultural environment where sustainable crop production is imperative in ensuring food security. – Press release, InteliChem