Groupe SEB Looks to Strengthen Stake in Chinese Company Supor
ECULLY CEDEX, France-Groupe SEB has agreed to buy a complementary 20 percent stake of the capital of Chinese cookware company Supor from the founding shareholders, which have expressed their desire to sell. Groupe SEB already holds 51.3 percent of Supor's capital.
Through a Share Purchase Agreement, Groupe SEB has agreed to buy from the founding shareholders 115,450,400 shares at a price of RMB30 each, for a total of about RMB3.5 billion, or $525.9 million.
The Su family intends to remain a material shareholder of Supor with a 12.5 percent stake in the capital, which Groupe SEB said in a release perfectly copes with its will to pursue the win/win cooperation that has been prevailing between all shareholders since 2007. Current float today amounts to 16.2 percent of the capital and Groupe SEB said it has no intention to delist Supor.
Supor's board of directors approved this transaction yesterday, Feb. 16, and public shareholders will be asked to approve it in a shareholders' meeting on March 4. If approval is obtained, Groupe SEB will have to seek the agreement of the Chinese authorities, namely from the Ministry of Commerce People's Republic of China and the China Securities Regulatory Commission, which will likely require several months.
This complementary acquisition will strengthen the strategic investment completed by Groupe SEB in Supor in 2007.