14 Mar 2026 Premier Group’s acquisition of RFG gets final approval

Premier Group has secured final regulatory approval for its acquisition of RFG, marking a significant consolidation in South Africa’s packaged‑food sector in recent years.….

The deal brings household brands such as Bull Brand, Rhodes, Mama’s Pies and Bisto into the same portfolio as Snowflake, Iwisa, Blue Ribbon and Mister Sweet, creating a far broader multi‑category platform.

The Competition Tribunal approved the R5.8-billion transaction on March 6, 2026, with conditions, including a three‑year moratorium on retrenchments and increased investment in enterprise and supplier development. It found that the merger is unlikely to substantially lessen competition across the affected categories.

The combined entity will generate roughly R28-billion in annual revenue and around R1.7-billion in profit, placing it among the country’s largest diversified food manufacturers.

Premier will issue one share for every seven RFG shares, with cash paid for fractional entitlements. The exchange ratio is based on reference prices of R22 per RFG share and R154 per Premier share.

Market reaction and competitive landscape

Since the initial announcement, Premier’s share price has risen 11%, while RFG has climbed 52%, signalling investor confidence in the strategic rationale and expected synergies.

The enlarged group will compete more directly with Tiger Brands, PepsiCo (via Pioneer Foods), Libstar and RCL Foods across staples, ambient groceries, ready meals and value‑added categories.

Christo Wiese remains Premier’s largest shareholder with an estimated 46% stake through direct and indirect holdings. Premier listed in 2023 following its unbundling from Brait, which still owns around 18%. RFG has been listed since 2014, previously trading as Rhodes Food Group.

Source: News24.com