Premier Group, a shopper packaged items firm listed on the Johannesburg Inventory Alternate and partly owned by South African billionaire Christo Wiese, is aiming for $1.7 billion in annual income with its proposed acquisition of RFG Holdings.
Swap deal to spice up Premier Group income to $1.7 billion
The landmark deal, structured as a share swap valued at up to R5.9 billion ($360 million), is ready to mix the 2 South African meals producers into one bigger group. Premier Group stated the transaction would create an organization with almost R28 billion ($1.7 billion) in annual income and a projected revenue after tax of R1.7 billion ($103.1 million).
The acquisition additionally offers a premium for RFG shareholders whereas increasing Premier’s presence in Southern Africa. Premier operates throughout South Africa, Mozambique, Eswatini, Lesotho, and maintains a gross sales workplace in the UK. Beneath the phrases, Premier will supply one among its shares for each seven RFG shares held.
Premier strengthens packaged meals presence
The swap displays a 35.6 % premium on RFG’s closing worth and a 37.5 % premium on its 30-day common worth as of Oct. 14, 2025. Based mostly on reference costs of R22 ($1.33) per RFG share and R154 ($9.3) per Premier share, RFG shareholders would maintain a mixed 22.5 % stake within the enlarged Premier Group. The deal will strengthen Premier’s place within the packaged meals sector, broaden its income combine, and assist continued returns to shareholders.
Premier’s scale available in the market is substantial. Titan Premier Investments, Christo Wiese’s personal funding agency, owns 45.53 percent of Premier Group. The corporate controls 28 % of South Africa’s formal bread market, 38 % of the wheat market, 15 % of sugar confectionery, and 22 % of the female care market.
Christo Wiese’s stake grows with Premier achieve
Regardless of spending R2.8 billion ($170 million) on new capital over the previous 5 years, the corporate has continued to do nicely financially, with a return on invested capital of 24.9 % as of March 31, 2025. Free money conversion stood at round 73 % for the 12 months ending Mar. 31, 2025, with internet debt of R1.7 billion ($103.1 million), reflecting a leverage ratio of 0.7x.
Since asserting the acquisition on Oct. 16, Premier’s share price has risen greater than 13 %, reaching R168.31 and lifting its market capitalization to R21.7 billion ($1.3 billion). Christo Wiese’s 45.53 % oblique stake by Titan Premier Investments is now valued at R9.88 billion ($600 million), additional securing his place amongst Africa’s richest people.
