Fatima Al-Kashef

Dubai-based energy and infrastructure investment firm Avery Finance and South African mining and energy company Mantingo, listed on the Johannesburg Stock Exchange, have entered into advanced negotiations for a potential reverse takeover, according to a Mantingo statement to the Johannesburg Stock Exchange on Wednesday.

About the two companies

(According to their official website and statement)

Afri Finance was founded in 2015 in Mauritius and later moved to Dubai. It focuses on emerging markets, especially Africa, and has a presence in 35 countries .

As for Mantingo, it was founded before that, in 2010, and has been listed on the Johannesburg Stock Exchange since 2012, and operates in the fields of mining and energy.

Details of the potential deal

(According to the stock exchange statement)

- The potential reverse acquisition deal involves Mantingo issuing 650 million new shares to Avery in exchange for all of its assets .

- If the deal is completed, it will result in Mantingo shareholders' stake in Mantingo decreasing to 33.3%, with Avery acquiring the remaining percentage .

- The due diligence process is currently being completed, with Mantingo initially valuing Avery at $120 million, while Avery valued Mantingo at $60 million .

(Prepared by: Fatima Al-Kashef, Edited by: Omnia Assem, Reviewed before publication by: Yasmin Saleh, Contact: zawya.arabic@lseg.com )  

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