The Public Investment Corporation (PIC) welcomes the decision of the Competition Tribunal to, unconditionally, approve the merger between Emasa Holdings (Pty) Ltd. and Dewfresh (Pty) Ltd. Emasa is a special purpose vehicle, which is 51%-owned by the Government Employees Pension Fund (GEPF), with Emlek Holdings (Pty) Ltd. and Asante Afrika Management Services holding 34% and 15%, respectively. As a result of this approval, Emasa will hold 45% of Dewfresh. The PIC concluded the transaction on behalf of the GEPF.

Dewfresh is an agro-processing company that produces a full range of short- and long-life products. These range from dairy to soya and juice products. 

Acting Chief Executive Officer of the PIC, Mr Vuyani Hako said, “The approval of this transaction means the PIC can proceed to contribute to the development of the agricultural sector and contribute to food security as well as job creation. Most important, the approval of this transaction provides the PIC with an opportunity to diversify our investment portfolio for the benefit of clients.”

This investment will contribute to the development of the rural economy, given that Dewfresh’s main operations are in Leandra, Mpumalanga. As part of implementing the merger, Dewfresh plans to expand its processing facility. The expansion will require increased milk volumes, presenting an opportunity to develop emerging black farmers from whom the company can source milk. 

Dewfresh’s Managing Director, Mr Frik Grobler, said, “I am confident that the merger will be of benefit to suppliers  and consumers alike, with the local economy also likely to benefit over the years from increased manpower requirements largely drawn from local communities.” 

With the introduction of Emasa as shareholders, the Company plans to continue exploration and development of measures to become more cost effective. It also  plans to serve additional markets as it goes forward, becoming a valuable contributor to all stakeholders.

Issued by The Public Investment Corporation