Bytes SA, a subsidiary of listed technology group, Altron, says it will acquire 27% of its issued share capital for R669 million from a consortium led by Kagiso Strategic Investments, by way of a share repurchase.<\/p>\n
Kagiso Strategic Investments is indirectly owned by Kagiso Tiso Holdings, with the acquisition set to become effective on 30 June 2014.<\/p>\n
\u201cBytes SA is, and has been performing well over the last few years, and Altron will now own 100% of its issued share capital,” said Robert Venter, chief executive of Altron.<\/p>\n
“Similar to our recent acquisition of the minority shares of Altech, we are investing further in a business we know well and have been managing for decades.”<\/p>\n
“Significant value will also be realised, through this transaction, for the broad-based black economic empowerment shareholders of KTH,\u201d said Venter.<\/p>\n
Rob Abraham, CEO of Bytes Technology Group, said the partnership with KTH had seen significant benefits for both organisations and had demonstrated that the principles of broad-based black economic empowerment (B-BBEE) could be applied in a very positive manner.<\/p>\n
According to Abraham, Bytes was the first IT company in South Africa to receive a B-BBEE certificate and was the first to receive a Level 3 and subsequently a Level 2 B-BBEE verification status.<\/p>\n
Since the delisting of Altech in August 2013 and the formation of Altron TMT, which is a combination of the Altech and Bytes businesses, the Altron group has been in a position to review all of its broad-based black economic empowerment structures in order to align Altron TMT and Altron Power, the latter housing the Powertech operations.<\/p>\n
Altron is currently rated as a Level 2 Contributor under the recently promulgated ICT Charter Codes.<\/p>\n
Altron said its restructuring project, which includes the integration of Altech and Bytes, the introduction of shared services and a drive to increase innovation and business development, is expected to be completed in the first half of 2016.<\/p>\n
Altron sees stronger earnings<\/strong><\/a><\/p>\n Altron refinances debt from Altech acquisition<\/strong><\/a><\/p>\n