Business Report

Huge Group makes offer to acquire all of Adapt IT

Huge Group makes offer to acquire all of Adapt IT

Huge Group makes offer to acquire all of Adapt IT

By Edward West Time of article published 1h ago

Share this article:


CAPE TOWN – HUGE Group, the technology investment group whose subsidiaries operate in the telecommunications, media, technology and software industries, said yesterday that it had made an offer to acquire all of Adapt IT Holdings’ shares at 552 cents per Adapt IT share, through a share swop.

The consideration represented a 33 percent premium on the 30-day average traded price of Adapt IT shares on the day immediately preceding the date of the offer letter, being January 26, 2021.

Each seller of Adapt IT shares would receive 0.9 consideration shares in consideration for each sale share. The swop ratio was based on a Huge share price of 613c per Huge share.

The take-over bid follows on the heels of the Huge announcement on Monday that it plans to list on the London Stock Exchange (LSE). The group’s board had decided to apply for admission of its shares on the LSE’s Alternative Investment Market as a secondary listing.

Huge said it would retain its primary listing on the JSE and its A2X stock exchange listing. Huge’s share price increased 2.67 percent to R6.15 yesterday. Adapt IT’s share price fell 4.92 percent to R4.01 yesterday, after it had nearly doubled from R2.40 three months ago.

In the year to June 2020 Adapt IT’s profit for the year fell to R70.8 million from R75m the previous year, but net gearing fell from 66 percent to 45 percent, while net cash from operations increased by 27 percent to R227m.

[email protected]


Original Article

Related posts

REVIEW: The Samsung Galaxy S21 Ultra – a closer look


National Treasury calls on private sector to help tackle unemployment and boost economy


The (possible) end to gig economy model