Mitchell’s Fruit Farms Inks Share Purchase Agreement with CCL Holding

Mitchell’s Fruit Farms Limited (MFFL) revealed on Thursday that it has entered into a Share Purchase Agreement with CCL Holding (Private) Limited, a subsidiary of CCL Pharmaceuticals.

MFFL, a Pakistani manufacturer specializing in farm and confectionery products, communicated this development in a notification to the Pakistan Stock Exchange (PSX) earlier today.

According to the notice, the agreement encompasses the sale of the complete shareholding of Syeda Maimanat Mohsin and Syeda Matanat Ghaffar in the company, which totals 9,293,244 ordinary shares. This figure accounts for 40.63% of MFFL’s total paid-up capital.

The notice further stated that the finalization of this transaction hinges on CCL issuing a public offer, securing necessary regulatory approvals, and fulfilling other customary closing conditions.

On January 14, MFFL had previously announced that its principal shareholders had formally requested the company to permit CCL Holdings (Pvt) Limited, a subsidiary of CCL Pharmaceuticals, access for due diligence purposes.

The earlier notification to the PSX specified that Syeda Maimanat Mohsin and Syeda Matanat Ghaffar, collectively holding 40.63% of the company’s issued share capital, were undertaking a strategic review. Given the sustained interest from CCL Holdings (Pvt) Limited (CCL), they requested that the company grant CCL access for due diligence concurrently with IGI Investments (Pvt) Limited. The company is taking the necessary steps in light of this request. Any decision pertaining to the strategic review is contingent upon regulatory approvals and the execution of definitive agreements.

CCL Holding serves as the holding entity for CCL Pharmaceuticals (Pvt) Limited, a wholly-owned subsidiary primarily involved in manufacturing and marketing branded generic pharmaceuticals and consumer health products.

Mitchell’s Fruit Farms Limited traces its origins back to 1933. Following Pakistan’s independence, the company transitioned from Indian Mildura Fruit Farms to its current name, Mitchells Fruit Farms Limited.

The company became a publicly traded entity in 1993 and was subsequently listed on the stock exchange in 1996. Its primary business revolves around the manufacturing and sales of a diverse range of farm and confectionery products, including beverages, ketchups, sauces, preserves, and ready-to-cook and ready-to-eat food items.