Dannex acquires majority stake in Starwin
~~The acquisition which was made through a rights issue makes Dannex the biggest shareholder of the company with 71.33 percent shares translating to 185,317,279 shares. 333,359,264 ordinary shares of no par value at GHS 0.03 per share in a ratio of 4.49 new shares for every one existing share held by qualifying shareholders of Starwin were offered. The offer raised a total of GHS 5,567,099.16 representing 55.67% of the intended GH 10,000,777.92. Prior to becoming the majority shareholder of Starwin, Dannex owned 2.69 percent shares in the company. In its latest acquisition Dannex acquired 68.64 percent stake in the company at a cost of 5,566,802.16 million cedis. The acquisition of Starwin by Dannex is expected to make Dannex a formidable force to grapple with in the pharmaceutical industry both in Ghana and the West Africa sub region. Dannex Limited is a wholly owned private limited liability company which was set up in May 1964 and is recognized as an industrial leader in the manufacture of high quality pharmaceutical drugs and chemicals in Ghana, while Starwin Products Limited is one of the leading pharmaceutical companies in Ghana and the first of only two organizations in the industry to be listed on the Ghana Stock Exchange.
MD of Dannex, Yaw Opare-Asamoah who confirmed the acquisition to Citi Business News said the move will make Dannex the leader in the pharmaceutical sector. “We will have a bigger balance sheet which will stand the test of time because of the uncertainties in the market place and this is exactly why we are looking at this together with Starwin which had a strong brand, good people and a strong board. We believe if we can have the two companies together we can have a stronger presence in West Africa and also we will be known as a leader and push the Ghana pharmaceutical industry in the sub region.’ He said. The acquisition makes Mirfield Properties the second largest shareholder of the company with 7.80 percent shares, Damsel and Anthony Oteng – Gyasi third largest shareholder with 1.15 percent. While Starwin comes in at number four with 0.99 percent shares. E.H Boohene Foundation and International Central Gospel Church come in as fifth and sixth largest shareholder respectively with 0.95 and 0.80 percent shares - See more at: http://business.citifmonline.com/2014/12/18/dannex-acquires-majority-stake-starwin/#sthash.eo5e1pS8.dpuf