JSE-listed Blue Label Telecoms says it has terminated discussions with an unnamed company for the acquisition of all its issued shares.<\/p>\n
The group, a distributor of pre-paid vouchers and other mobile services, said in October that it had received a \u201cnon-binding expression of interest\u201d from a company to acquire it.<\/p>\n
The company, which remains unnamed, was revealed through industry sources to be a global company based in the United States.<\/p>\n
However, the talks have now been terminated.<\/p>\n
“Blue Label considers that insufficient progress has been made in relation to the non-binding expression of interest received to merit shareholders remaining under cautionary,” it said.<\/p>\n
Shareholders were no longer advised to exercise caution when dealing in the group’s shares.<\/p>\n
Shares in Blue Label were up marginally in trade on Friday morning at R9.14, giving the group a market cap of R6.16 billion.<\/p>\n
In August, Blue Label reported an 8% rise in its dividend per share to 27 cents for the period ended May 2014, on the back of a rise in profits.<\/p>\n
Revenue improved to R19.4 billion from R18.98 billion before, while group operating profit was up to R723 million from R646 million in 2013.<\/p>\n
Blue Label in acquisition talks<\/strong><\/a><\/p>\n Blue Label lifts dividend by 8%<\/a><\/strong><\/p>\n Blue Label buys into mobile services provider<\/a><\/strong><\/p>\n