Malayasia-based supplier revises time-line for deal.

 

In its third quarter earnings report, Pelikan has commented on the ongoing sale of the majority of its business to France-based Hamelin.

 

At the end of June, Hamelin was confirmed as the buyer of Pelikan Group from its Malaysia-based owner Pelikan International Corporation Berhad (PICB) in a deal worth almost €190 million (US$209 million). At the time, it was expected the transaction would close at the end of October 2023.

 

That has clearly not transpired. In mid-October, the parties agreed to amend their agreement to extend the ‘long stop date’ (the cut-off for all conditions being fulfilled) by two months, from 31 October to 31 December. No reason was given for this, but OPI can probably assume it was related to competition approvals in Germany as Pelikan’s shareholders and the relevant authorities in Malaysia have already given the green light to the transaction.

 

In its Q3 earnings, which have recently been published, Pelikan said it still expects the acquisition to go through “by the first quarter of 2024” – which presumably means before 1 January.

 

Following the sale to Hamelin, PICB will be left with a business that generates around US$13 million in annual revenue. Much of that is from a German production unit, with the remainder largely comprising distribution in Greece and markets such as China and Taiwan.

 

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