Foreign investor buys ZIL Ltd for $6m

A foreign investor has acquired Zulfiqar Industries Ltd (ZIL), a fast-moving consumer goods (FMCG) entity that makes Capri soap, for around $6 million. New Future Consumer International General Trading LLC, an emerging global consumer goods player, purchased a total of 84.8 per cent shareholding in the local firm at a weighted average price of Rs301.4 a share in a transaction that was completed over the last many months. Last month, the foreign acquirer accepted 1.4m shares — constituting 23.5pc of total shareholding — that were tendered by ordinary investors during the public offer period ending on May 10. The public offer was preceded by the acquirer signing a share purchase agreement in March with the majority shareholder of ZIL for the acquisition of a 61.3pc stake. The original public offer made by the acquirer was for 19.3pc shareholding in the locally listed firm at Rs286.64 a share. This exercise is mandatory under the takeover rules that require the potential buyer of a listed company must offer to purchase at least half of the free-float, which means the shareholding owned by the general public.