Sapphire Fibres Abandons Plan to Buy 75.69% Stake in Rafhan Maize Products

Sapphire Fibres Limited has officially called off its planned acquisition of Rafhan Maize Products Company Limited, citing failed negotiations with the seller. The company notified the Pakistan Stock Exchange (PSX) on Wednesday that it would no longer pursue the deal.

Originally, Sapphire Fibres had announced on May 15, 2025, its intention to acquire up to 6,991,052 shares of Rafhan Maize Products. This stake represented a controlling 75.69% of the company and was to be purchased from Ingredion Inc. The public announcement was later updated through a corrigendum on July 16, 2025.

According to Sapphire Fibres, after completing due diligence and conducting extensive negotiations, the parties could not reach mutually acceptable terms. As a result, the proposed acquisition has been officially abandoned.

The withdrawal follows Regulation 21(1)(b) of the Listed Companies (Substantial Acquisition of Voting Shares and Takeovers) Regulations, 2017. The company also confirmed that the announcement will be published in newspapers in the required format.

This cancellation marks a significant shift in the corporate landscape, as Sapphire Fibres had aimed to secure a majority stake in one of Pakistan’s leading food companies. The decision highlights the challenges companies face in large-scale mergers and acquisitions.