Anchor Yeast French deal on course

Business Reporter
Anchor Holdings’s real estate arm, Anchor Yeast Properties, has declared its assets in terms of Section 47 of the Insolvency Act to pave way for the conclusion of the company’s transaction with French yeast manufacturer Lesaffre Group.

In a notice, Anchor Yeast Properties said it will dispose of its three business premises including the head office in Gweru among other assets.

“Notice is hereby given, in terms of Section 47 of the Insolvency Act (Chapter 6:04) that each of the undermentioned companies proposes to alienate (a) its business (b) the goodwill of the business or (c) assets or property forming part of the business.

“The proposed alienation also entails sale of business as a going concern including its goodwill, capital assets excluding liabilities incurred up to June 12 this year.”

Anchor Holdings chairman Mr Mike Nyabadza told The Herald Business that the notice was part of any normal procedure followed before any transaction can go through and did not mean that the company was in a state of insolvency.

He said negotiations with Lesaffre group were at an advanced stage and the notice is meant to notify creditors if they can lodge a complaint before the conclusion of the transaction.

“As part of the Lesaffre transaction we are notifying all the creditors so that they get an opportunity to lodge complaints so that the two parties involved in the transaction will conclude the deal without any complications.”

According to sources close to the transaction, a management reshuffle is looming and this will see the French company appointing its own management.

The acquisition of Anchor Holdings will lead to an injection of fresh capital and is set to increase the company’s annual yeast production to 10 000 tonnes.

Lesaffre is a family-run group founded in the north of France. With €1,5 billion in turnover in 2014, Lesaffre employs a staff of 7 700 divided between more than 80 subsidiaries in 40 countries.

The country requires 5 400 tonnes of yeast per annum and Anchor has installed capacity to produce 7 000 tonnes but is currently operating at 60 percent.