AB Foods to make buyout offer to Illovo Sugar

Primark owner Associated British Foods confirmed on Monday that it plans to make an offer to buy the remaining shares of South Africa-based Illovo Sugar it does not already own.

The company, which owns 51.4% of Illovo, said it intends to make an offer of ZAR20 (86p) per Illovo share, to be settled in cash to all other shareholders.

“At this stage there can be no certainty that the discussions will result in a transaction. A further announcement will be made in due course.”

At 1444 GMT, AB Foods shares were down 1% to 3,065p.