RFG shares soar 38% after Premier Group acquisition announcement

RFG Holdings' share price shot up over 38% to R22.20 after a surprise announcement Thursday that South African consumer foods and packaged goods company Premier Group plans to acquire it in a share swap transaction.

- EDWARD WEST

Investors appear stoked with the proposed acquisition, as Premier's share price also increased by 8.3% to R166.40 in the morning, while the share price of one of Premier's main shareholders, Brait, also increased by more than 8% to R2.11 per share.

The proposed transaction to acquire all of RFG's shares was structured in a ratio of one Premier share for 7 RFG shares, and was based on a RFG Holdings price per share of R22, and a reference price of R154 per share. The offer represented a 35.6% premium based on the closing prices of a Premier share and an RFG share on October 14, 2025, of R153.28 and R16.15 respectively.

If implemented, RFG shareholders will hold a 22.5% stake in the combined group, and the listing of RFG shares will be terminated on the JSE.