Fan Milk International A/S has acquired 5.46% of the issued shares in FML. The transaction was executed at the end of last month. This amounts to a share buy back which would defend the value of the company’s shares during this extended bear market on the Ghana Stock Exchange. After a ferocious bull market in 2017, the GSE has lost value over the two successive years and looks set for a third consecutive bear market this year.
The Free of Payment (FoP) transaction was executed in Ghana and involved the purchase of 6,345,563 shares ordinary shares in FML. The shares were previously held by Hongkong Shanghai Arisaig Africa Consumer Fund.
This acquisition takes Fan Milk International A/S current shareholding in FML to 62.10%. The acquisition has however not made FML’s shares any less liquid as the previous shareholders were also acting as a buy and hold institutional shareholder.