Converting

South African Shanduka Group plans to buy more shares in two local Mondi businesses, following Mondi publishing its demerger information last week.

Shanduka chairman Cyril Ramaphosa has been named joint chairman of the newly demerged Mondi, along with Sir John Parker, and he now wants to increase Shanduka’s stake in the South African businesses.

Mondi is said to be supportive of the move, which could give Shanduka equal stakes in Mondi Packaging South Africa and Mondi Shanduka Newsprint. It currently owns a 40% stake in Mondi Packaging, which it hopes to increase to 47.5%.

Mondi Packaging South Africa is primarily a paper-based packaging manufacturer, but it acquired plastic bottle manufacturer Lenco earlier this year.