The Moroccan Capital Market Authority (AMMC) has revealed a series of significant share sales in CMGP, a leading player in agricultural water management solutions. These transactions, carried out on December 19 and 20, 2024, underscore strategic adjustments by three major shareholders: ADP II Holding, Fipar Holding, and Africa Agriculture SARL.
ADP II Holding: A shift below one-third ownership
On December 19, ADP II Holding 10 Luxembourg sold 824,750 shares of CMGP on the central market at a unit price of 277.80 dirhams. This sale marked a major reduction, lowering its stake from over 33.33% to 29.36%. Post-transaction, ADP II now holds 4,990,949 shares.
The holding company has indicated plans to continue reducing its position in CMGP within the next six months, signaling a broader reevaluation of its investment strategy.
Fipar Holding falls below 10%
On the same day, Fipar Holding divested 279,889 CMGP shares via block trades. These were distributed as follows:
- 186,593 shares sold to funds managed by CDG Capital Gestion at 276.50 dirhams per share.
- 93,296 shares sold to funds managed by Wafa Gestion at 277 dirhams per share.
Following these transactions, Fipar Holding’s stake dropped to 8.37%, leaving it with 1,423,939 shares. Like ADP II, Fipar Holding plans further divestments in the coming months.
Africa Agriculture joins the wave
On December 20, Africa Agriculture SARL followed suit, selling 21,903 shares on the central market at an average weighted price of 277.12 dirhams. This transaction brought its shareholding down to 9.87%, with 1,679,074 shares remaining. The company has also expressed intentions to offload additional shares in the near future.
Market implications and outlook
These synchronized moves by major shareholders hint at a broader restructuring of CMGP’s shareholder base. The reductions in stake could enhance the stock’s liquidity, making it more attractive to new institutional and retail investors.
Despite these adjustments, CMGP remains a vital player in the agricultural sector, particularly in water and irrigation management. Its strategic importance ensures it stays in the spotlight, even amidst changing investment dynamics.
For CMGP, the road ahead promises both challenges and opportunities. As current investors realign their portfolios, the potential for new entrants to capitalize on this transition could reshape the company’s trajectory.
