Times Media Group has sold its investment and market data business, I-Net Bridge to Naspers-owned McGregor Bureau for Financial Analysis (BFA) for R115 million.
I-Net provides a wide range of investment products comprising real-time and historical market data, packaged with breaking news and powerful analytical tools, allowing investors to make informed decisions.
As rationale for the sale, Times Media outlined that the I-Net wasn’t aligned to the company’s core business and faced tough competition in the market.
“I-Net’s future prospects are dependent on being able to compete in a relatively small, proprietary market with major international players,” Times Media said in a statement.
“I-Net further requires investment and a global presence to help retain a competitive offering and improve its prospects for sustainable growth. Times Media is of the view that the purchaser (McGregor BFA) is better placed to position I-Net to achieve the aforegoing.”
McGregor BFA is a financial analysis company that sells products and services for South Africa’s investment community, including web-based market data feeds.
The company was established in 1965 at the University of Pretoria and sold a controlling stake of its business to Naspers in 1998.
According to TMG, the proceeds of the I-Net disposal will be used to “reduce gearing and for potential future acquisitions more aligned to the Company’s core business”.
The sale of I-Net will be effective once the competition authorities have given the deal the green light, or 30 November at the latest, which is the last day by which the conditions of sale can be met.