Agriterra Ltd (AIM:AGTA), an African agricultural company listed on AIM, announced yesterday that its shareholders approved the proposed disposal of its Mozambique Agricultural Business and the change of the company's name to "PACSCo Limited". The resolutions were passed at a General Meeting following a notice issued on March 10, 2025.

The first resolution on the divestment was passed almost unanimously with 99.99% of the votes in favor. The second resolution to change the company's name also received a similar level of support. The total number of votes cast for each resolution was exactly 52,980,153, with no votes withheld.

The disposal of the Mozambique Agricultural Business will see Chepstow, the counterparty in the transaction, release Agriterra from its obligations related to the CIL-AGTA Debt, which stood at approximately 15.1 million dollars on Monday. Chepstow will also cover disposal costs of around 80,000 pounds, will settle the company's outstanding trade creditors estimated at 170,000 pounds and will provide Agriterra with up to 750,000 pounds as a Working Capital Facility.

Completion of the disposal is expected within two months of Monday, during which Agriterra will not manage or finance the agricultural business in Mozambique or be entitled to its cash flow. If the sale is completed by May 31, 2025, the expected value of the CIL-AGTA debt will be approximately 15.4 million dollars.

Following the disposal, Agriterra will operate as an AIM Rule 15 cash shell company, with the directors expressing hope for opportunities to offer better returns to shareholders.

The change of company name to "PACSCo Limited" will be finalized following the issue of a certificate by the Guernsey Registrar of Companies, expected within 14 days of the application being submitted. The company's negotiable instrument display mnemonic (TIDM) will be changed to "PACS" to reflect the new name. Further announcements will be made as soon as the name change takes effect.

This strategic change is part of Agriterra's efforts to reshape its business structure and focus on opportunities that can offer better returns to its investors. (Clubofmozambique)