JSE-listed DigiCore Holdings (DGC) on Monday announced that it has entered into an agreement to purchase the remaining 30% of the issued share capital of Digicore Fleet Management SA from Western Breeze (12.6%) and Amabubesi Investments (17.4%) for R13.2 million.
The Acquisition is the result of the restructuring of a past BEE transaction, which allows the BEE shareholders to realise cash for their investment, Digicore said.
DFM SA is a fleet management solutions provider servicing more than 5,000 companies constituting the bulk of DigiCore’s corporate business in South Africa. The group employs over 350 staff members and has over 100 fully equipped mobile service vehicles. Distribution is through eight branches throughout the country.
DigiCore, which specialises in the research, design, development, manufacture, sales and support of technologically advanced GPS/GSM fleet management and vehicle tracking solutions, already owns 70% in DFM SA.
The purchase price will be settled in two tranches, being a total of R3.906 million on date of signature of the agreement and the balance is payable within 24 months from 25 July 2011, free of interest.