Absa Capital further underscored its private equity credentials today when a consortium of private equity investors, co-led by Absa Capital Private Equity (Pty) Ltd (Absa Capital Private Equity) and Vantage Capital Group (Pty) Ltd (Vantage Capital), announced that they had acquired the entire issued ordinary share capital of the JSE-listed Kwikspace Modular Buildings Ltd (Kwikspace).
The consortium comprises Absa Capital Private Equity, Vantage Capital and certain members of the Kwikspace management team.
The offer - R8 a share for a total consideration of R683 m – was made to acquire the entire issued ordinary share capital of Kwikspace, excluding those shares held by Vantage Capital and certain other shares held by the current management team.
Andre Pieterse, CEO of Absa Capital Private Equity, said that he was delighted to acquire Africa’s largest and most diverse manufacturer of factory-built modular homes, clinics, offices and classrooms.
“The offer was implemented by way of a scheme of arrangement between Kwikspace and its shareholders, other than Vantage and Kwikspace management, in terms of section 311 of the Companies Act,” said Pieterse.
Mutle Mogase, Vantage Capital’s director on the board of Kwikspace commented: “We have a long-standing relationship with the company which dates back to 2006 when we first acquired a 30% shareholding as BEE investor. This buyout represents a new and exciting phase in this relationship.”
All conditions precedent to the scheme were fulfilled and the scheme consideration was paid to shareholders on Monday, 23 February 2009.
The listing of Kwikspace shares was terminated at the commencement of today’s trading.
Kwikspace has been building a wide variety of modular building units for more than 30 years and exporting to many parts of Africa, South America and the Middle East - supplying customers in the private, industrial, commercial and government sectors.
Kwikspace has factories in Johannesburg, Durban and Cape Town, with sales offices situated in most major cities throughout the country.
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2 comments:
I reckon Absa Capital have got a seriously good deal here... Interesting to see what other listed companies go the PE route in the next few months...
Thanks for sharing this detail and comprehensive knowledge on Private Equity Capital.This kind of information are very Important for beginners, like me.Presently I am doing trading with following leading Investment Company.
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