Lonrho Increases Holding in SAILS to 66.7%

18 March 2008
Content from a Premium Partner
Lonrho (London)
press release

Lonrho Plc (AIM: LONR), the conglomerate with a structured portfolio of African investments, is pleased to announce that it has acquired a further 15.7% stake in SA Independent Liner Services Pty Limited ("SAILS" ) for US$8.96 million. This increases Lonrho's holding in SAILS to 66.7%.

SAILS provides scheduled containerised shipping services from South Africa along the West Coast of Africa to Europe. This includes one of Africa's largest ' reefer' services, providing chilled containers that transport fruit and vegetables from African producers to European consumers. Since Lonrho's first investment in SAILS in July 2007, SAILS operations have expanded significantly and the fleet has grown from two to six vessels in service.

Lonrho increased its investment in SAILS as part of a capital raising by SAILS to finance the growth and development of its services between South Africa, West Africa and Europe; to finance the relocation of SAILS to larger premises and to enhance the administration and handling facilities within the company.

David Lenigas, Lonrho's Executive Chairman commented:

"SAILS provides essential services for African companies to import much needed consumables and raw materials and for producers to get their goods to markets in South Africa and Europe. The increase in capital will allow SAILS to access better the growth opportunities that this market provides.

SAILS continues to provide great synergy with other companies in the Lonrho portfolio of infrastructure and transport companies"

ENQUIRIES

  • Lonrho Plc +44 (0)20 7016 5105
  • David Lenigas, Executive Chairman +44 (0)7881 825 378
  • Geoffrey White, Chief Executive Officer +44 (0)7717 307 308
  • Emma Priestley, Executive Director +44 (0)7867 785 177
  • Pelham PR Charles Vivian +44 (0) 20 7743 6672, +44 (0) 7977 297903
  • James MacFarlane +44 (0) 20 7743 6375, +44 (0) 7841 672831
  • Collins Stewart Europe: NOMAD to Lonrho Hugh Field / Jonny Sloan +44 (0) 20 7523 8350

NOTES TO EDITORS

About LONRHO:

Lonrho Plc is an expanding conglomerate that is rapidly growing a successful business throughout Africa. The Company is listed on the London AIM stock exchange (LONR). Lonrho is strategically focused on the development of business opportunities in infrastructure, transportation, support services and natural resources. The Company has over 20,000 shareholders and substantial institutional backing to support its mandate to build a profitable business that plays a fundamental role in the development of the African economy.

Since 2006, the Company has invested in or acquired control of:

  • Hotel Cardoso - www.hotelcardoso.co.mz
  • Lonrho Mining - www.lonrhomining.com
  • Luba Freeport - www.lubafreeport.com
  • Fly540 - www.fly540.com
  • Norse Air - www.norseair.co.za
  • Swissta Holdings - www.swissta.com
  • SA Independent Liner Services - www.saliners.com
  • Bytes and Pieces
  • Kwikbuild - www.e-kwikbuild.com
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