Clover is in takeover talks with unnamed firm

The company was approached by a third party interested in acquiring its entire share capital.

Clover Industries, South Africa’s largest dairy producer, said on Friday that it was in talks with an unnamed firm for its potential acquisition, sending its shares up 14 percent on the JSE.

In a statement, Clover said a third party intends to acquire its entire issued share capital.  The company didn’t provide further details.

Clover, which has a market capitalisation of R2.7 billion, has restructured its business over the past four years to diversify from its core dairy business to focus on value-added products and non-dairy food products.

In addition to producing milk, yoghurt and cheese, Clover moved to introduce olive oil, sugar free and lactose-free beverages to line of products.

After Clover announced the potential deal, its shares shot up by 14.89 percent to R16.20 at 11:44 on the JSE.