KAL Group streamlines operations, divests Tego Plastics

KAL Group Limited has entered into a Sale of Shares and Claims Agreement for the disposal of Tego Plastics Proprietary Limited. The company will divest all its shares in Tego, while its subsidiary, Agrimark Operations Limited, will dispose of all loan claims against Tego. This disposal is part of KAL Group's strategy to streamline operations and concentrate resources on other segments within the group.

Despite the divestment, KAL Group will continue to purchase agricultural packaging products from Tego. This arrangement ensures the ongoing delivery of quality products to its customers, highlighting a continued operational relationship post-disposal. The announcement, issued from Paarl on 29 September 2025, clarifies that this disposal is "uncategorised" under JSE Limited Listings Requirements, making the disclosure voluntary.

Valeo Capital (Pty) Ltd acted as the transaction advisor and transaction sponsor, with Andersen South Africa serving as the legal advisor. PSG Capital is listed as the sponsor for the transaction.