Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      Vodacom, Maziv deal now looks likely after CompCom U-turn

      8 July 2025

      Icasa publishes new draft regulations for digital TV

      8 July 2025

      Fast-growing Beira port to get private mobile network

      8 July 2025

      MultiChoice hit with multimillion-rand fine for privacy ‘breaches’

      8 July 2025

      Still in play: Ramaphosa banks on talks to ease US tariff blow

      8 July 2025
    • World

      Cupertino vs Brussels: Apple challenges Big Tech crackdown

      7 July 2025

      Grammarly acquires e-mail start-up Superhuman

      1 July 2025

      Apple considers ditching its own AI in Siri overhaul

      1 July 2025

      Jony Ive’s first AI gadget could be … a pen

      30 June 2025

      Bumper orders for Xiaomi’s YU7 SUV heighten threat to Tesla

      27 June 2025
    • In-depth

      Siemens is battling Big Tech for AI supremacy in factories

      24 June 2025

      The algorithm will sing now: why musicians should be worried about AI

      20 June 2025

      Meta bets $72-billion on AI – and investors love it

      17 June 2025

      MultiChoice may unbundle SuperSport from DStv

      12 June 2025

      Grok promised bias-free chat. Then came the edits

      2 June 2025
    • TCS

      TCS | Connecting Saffas – Renier Lombard on The Lekker Network

      7 July 2025

      TechCentral Nexus S0E4: Takealot’s big Post Office jobs plan

      4 July 2025

      TCS | Tech, townships and tenacity: Spar’s plan to win with Spar2U

      3 July 2025

      TCS+ | First Distribution on the latest and greatest cloud technologies

      27 June 2025

      TCS+ | First Distribution on data governance in hybrid cloud environments

      27 June 2025
    • Opinion

      In defence of equity alternatives for BEE

      30 June 2025

      E-commerce in ICT distribution: enabler or disruptor?

      30 June 2025

      South Africa pioneered drone laws a decade ago – now it must catch up

      17 June 2025

      AI and the future of ICT distribution

      16 June 2025

      Singapore soared – why can’t we? Lessons South Africa refuses to learn

      13 June 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Investment » Bytes demerger created R7-billion in shareholder value: Altron

    Bytes demerger created R7-billion in shareholder value: Altron

    By Staff Reporter17 December 2020
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Altron CEO Mteto Nyati

    Altron on Thursday successfully listed its former subsidiary Bytes Technology Group on the main board of the London Stock Exchange, with a secondary listing on the JSE.

    With the listing, Altron has completed its demerger with Bytes — a complex transaction first mooted in April to unlock value for Altron shareholders.

    The issue price of £2.70 per Bytes ordinary share resulted in a market capitalisation of £647-million (about R13-billion) on admission in the UK. The share price started trading on Thursday at £3.58, well above its issue price, and was at £3.48 shortly before 10am in London.

    Altron shareholders hold approximately R14.8-billion of value in Altron shares, Bytes shares and cash

    About 40% of the Bytes ordinary shares have been distributed to existing Altron shareholders and the remaining shares are held by investors located outside South Africa and by Bytes management.

    “As a result of the demerger of Bytes, Altron shareholders will receive, after tax and transaction costs, a consideration of approximately £542-million (R10.9-billion) in the form of Bytes ordinary shares and cash,” Altron said.

    “If this is combined with Altron’s current market capitalisation, excluding Bytes, of approximately R3.9-billion, Altron shareholders hold approximately R14.8-billion of value in Altron shares, Bytes shares and cash.”

    Doubled

    Prior to Altron announcing the demerger on 2 April 2020, Altron’s market capitalisation was R7.3-billion. “Through this transaction, Altron has created more than R7-billion of value for shareholders. A shareholder who has held Altron shares from the time of the initial announcement to the completion of the demerger would have seen the value of their holding double.”

    The group said it has “demonstrated its ability to create significant value for shareholders with the execution of this highly complex transaction”.

    “With the Bytes demerger now complete, Altron will continue to focus on its remaining businesses (‘Altron 2.0’) and drive the growth strategy it has communicated to the market. Altron 2.0 is a R7-billion-revenue business with a strong balance sheet and exciting prospects as it continues to leverage the growing need for digital transformation and data,” said CEO Mteto Nyati.  — © 2020 NewsCentral Media



    Altron Bytes Bytes Technology Group Mteto Nyati top
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleGlobal chip shortage threatens production of laptops, phones and cars
    Next Article Why Altron could unbundle Netstar next

    Related Posts

    Home affairs to roll out restaurant-style self-service kiosks

    6 July 2025

    The real edge in enterprise computing lies in strategic partnerships

    3 July 2025

    South African execs warn: AI projects stalling without strategy

    3 July 2025
    Company News

    Huawei South Africa Partners Forum 2025: joining hands for a digital, intelligent future

    8 July 2025

    Powering South Africa’s industrial intelligence with Huawei Cloud’s AI-native innovations

    8 July 2025

    Rain launches a new way to connect. It’s a loop

    8 July 2025
    Opinion

    In defence of equity alternatives for BEE

    30 June 2025

    E-commerce in ICT distribution: enabler or disruptor?

    30 June 2025

    South Africa pioneered drone laws a decade ago – now it must catch up

    17 June 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.