ICSM CEO John Gorringe, Almoiz Group Managing Director Nauman Khan, ICSM Chairman Peter Russo, Almoiz Industries Limited Chief Operating Officer Haider Khan tour the Mill. Image Credit: Paul Beutel.
Isis Central Sugar Mill (ICSM) shareholders have voted to partner with Almoiz Group to ensure the Mill remains in a strong and viable position in the future.
ICSM Board of Directors Chairman Peter Russo said a majority of shareholders, representing 84 per cent of total votes cast at Wednesday's meeting, were in favour of Almoiz Group investing up to $35 million in ICSM.
“We are pleased shareholders carefully considered all of the details put before them, as well as their own personal circumstances, and have today made an informed decision about the future of their Mill,” Mr Russo said.
“Their support is a significant milestone, but there is still some way to go before the proposed transaction can proceed, including regulatory and Court approvals.”
Mr Russo said ICSM surveyed its shareholders in June 2017 before commencing a strategic review to identify ways to secure the Mill’s position and boost the local sugar industry.
“After careful consideration, the Board identified a proposal from Almoiz Group which we believe strikes an appropriate balance between providing immediate value to shareholders and strengthening the Company in the long term,” he said.
“In July this year we wrote to shareholders, outlining the terms of the proposal. Members of the Khan family, who own and operate Almoiz Group in Pakistan, met with ICSM shareholders to hear their perspectives. A detailed transaction booklet was sent to shareholders in October.
“It has been a long process and we thank shareholders for their patience, particularly at a time when we are all battling drought and low global sugar prices.
“We are hopeful the remaining conditions and approvals will be met this year, so we can start 2020 on firm footing with Almoiz Group. Further announcements will be made on transaction timing in due course.”