Prestige declares 50¢ dividend ahead of Agostini acquisition offer

The KFC outlet on Independence Square, Port of Spain. - File photo

PRESTIGE Holdings Ltd (PHL) has declared a dividend of 50 cents per share, payable on September 3 to shareholders of record as of the close of business on July 18. The payout is conditional on the successful completion of an acquisition offer by Agostini Ltd.

Agostini Ltd has formally proposed to acquire 100 per cent of PHL’s issued and outstanding shares through a share-for-share exchange. Under the terms of the offer, shareholders of PHL will receive one Agostini share for every 4.8 Prestige shares held. Any fractional shares arising from the exchange will be settled in cash, based on Agostini’s market value at the time of closing.

The proposed acquisition was announced in June in notices posted on the Trinidad and Tobago Stock Exchange (TTSE) website. Agostini, parent company of SuperPharm, Presto, and MPharmacy, is seeking full ownership of Prestige Holdings, which operates 136 restaurants under international brands including KFC, Subway, Pizza Hut, TGI Fridays, and Starbucks. The company employs more than 3,300 staff in Trinidad and Tobago.

Victor E Mouttet Ltd (VEML), a company wholly owned by the Mouttet family, holds controlling stakes in both Agostini Ltd (48.5 per cent) and Prestige Holdings (52.9 per cent). Under the Companies Act, Agostini must acquire at least 90 per cent of PHL shares not already owned by VEML or its affiliates for the transaction to proceed.

Agostini confirmed the exchange terms in a June 16 press release. The PHL at that time said the board has up to 21 days to evaluate the offer and make a recommendation to shareholders.

Following the announcement, Prestige’s share price showed modest movement. On June 16, it closed flat at $10.95, while the next day it rose to $11.18 on 667 trades.

Agostini continues to deliver solid financial performance. In its half-year results for the period ending March 31, 2025, revenue increased by eight per cent year-over-year to $2.78 billion, while profit attributable to shareholders rose by 3 per cent to $125.2 million.

For the full year 2024, sales grew by 9 per cent to $5.1 billion, with net profit increasing by 10 per cent to $242 million. The group’s total asset base reached $4.7 billion as of September 30, 2024.

Beyond Trinidad and Tobago, Agostini operates in Barbados, St Lucia, St Vincent, Grenada, Jamaica, Guyana, Curaçao, Aruba, and Canada. In 2024, the company established a Miami office to support international growth, supplier engagement, and market entry strategies.

In its offer circular, Agostini said the acquisition of PHL aligns with its long-term growth strategy. Chairman Christian Mouttet recused himself from all discussions and decisions related to the transaction due to his involvement with both companies.