Business
Acquisition of DECA, Compagri
Acquisition of DECA, Compagri.
About this update from Pacsco Limited
[{"type":"text","content":"\n RNS Number : 7777K White Nile Limited 24 December 2008 \n \nWhite Nile Ltd / Ticker: WNL / Index: AIM / Sector: Oil & Gas\n24 December 2008\nWhite Nile Ltd ('White Nile' or 'the Company')\nAcquisition of DECA, Compagri and Mozbife & Notice of EGM\n\nOverview\n\n\n\nIdentified three acquisition targets which meet criteria of proposed new 'Investing Strategy' of investing in agriculture in Africa\n\n\nPlan to acquire 75% of the issued share capital of DECA, Compagri and Mozbife from Central African Mining & Exploration Company plc ('CAMEC')\n\n\nDECA focussed on the treatment and processing of grain purchased from local farmers and sales of maize meal\n\n\nCompagri is a new venture intended to mirror DECA's operation\n\n\nMozbife to capitalise on growing demand for beef in Mozambique and currently owns one farm where it is establishing a breeding herd\n\n\n\nWhite Nile Chairman Phil Edmonds said, 'We can see considerable opportunity in agriculture in Africa and have therefore proposed our strategy shift. These acquisitions represent our first foray into agriculture and we believe will act as a cornerstone to our operational performance going forward. DECA's buying operation is focused on direct purchases from numerous local, smallholder farmers and sustains a substantial number of people in the Manica province in Mozambique. We want to replicate this success with Compagri and then roll out similar operations in other targeted areas. The demand for beef is also rising significantly and we believe through Mozbife we can become a leading supplier in this growing market.' \n\nFull Release\n\nFollowing the announcement on 5 December in relation to the Company's proposed name change and adoption of new strategy of investing in business projects operating in the agricultural or associated engineering industries in Africa ('the Investing Strategy'), the Board of White Nile has, in line with the proposed Investing Strategy, successfully identified agricultural trading and processing companies Desenvolvimento E Comercialização Agricola Limitada ('DECA') and Compagri Limitada ('Compagri'), and cattle ranching and feedlot production entity Mozbife Limitada ('Mozbife'), all located in Mozambique, as suitable acquisition targets.\n\nDECA's operations comprise of the treatment and pro...