Alt-X listed Huge Group has cautioned shareholders that it has entered into acquisition talks.
In a cautionary announcement posted to the JSE’s SENS on Tuesday (28 April), the group said that it was in discussions regarding a “strategic acquisition” which could ultimately have an impact on the company’s securities.
The company has said should a deal go forward, it would be put before shareholders, however it noted that the board of directors were in favour of the deal.
“Although no formal agreement nor offer is yet in place, the board of directors of Huge are supportive of the Proposed Acquisition,” it said.
Huge Group is an investment holding company, holding investments in subsidiary companies and a joint venture company operating in the telecommunications, media, technology and software industries
By midday on the Alt-X, Huge Group’s shares were trading at R3.50 a share, giving it a market capitalisation of R388 million.