The Competition Tribunal has approved the bid by printing and packaging firm Novus Holdings to acquire a controlling stake JSE-listed technology group Mustek.
According to a tribunal statement on Tuesday, the deal was approved subject to “employment-related public interest conditions”.
Novus was legally compelled to make a mandatory offer to Mustek shareholders last November after its shareholding in the technology distributor breached the 35% mark.
An offer comprising a cash consideration of R13/share; or a cash amount of R7/share plus one ordinary share in Novus for each Mustek share held; or two Novus shares for each Mustek share tendered was then made to shareholders.
The deal hit a speed bump in February when the Takeover Regulation Panel (TRP), an independent body reporting to the minister of trade, industry & competition, concluded that Mustek shareholder the DK Trust acted as a “concert party” to Novus’s bid to acquire Mustek.
Following an investigation, the TRP concluded that Novus acted “in concert” with the DK Trust – created by late Mustek founder David Kan – in setting up the transaction, a move that may have disadvantaged smaller shareholders in Mustek.
DK Trust
Novus CEO André van der Veen told TechCentral at the time that although the findings by TRP were considered by Novus to be incorrect, the only party materially affected by the ruling was the DK Trust, which will for six months after the conclusion of the deal be barred from buying Mustek or Novus shares.
Van der Veen said that although Novus disagreed with the TRP’s findings, the statutory body’s internal appeal mechanisms are non-existent because trade minister Parks Tau is yet to appoint the relevant staff member to fulfil the function.
Read: Mustek blames economy for hefty earnings decline
This left Novus with no other option but to take the matter to court if it wanted to rectify the disagreement. Van der Veen said this would only delay the deal without any substantial benefit to the stakeholders involved and so no legal action was pursued. – © 2025 NewsCentral Media
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