Pinnacle in offer to buy out Datacentrix - TechCentral

Pinnacle in offer to buy out Datacentrix

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Pinnacle Holdings has made a mandatory offer to buy the shares in IT services business Datacentrix that it doesn’t already own. The offer was triggered after Pinnacle acquired 20m Datacentrix ordinary shares from RMB Securities.

The acquisition of the shares from RMB Securities has pushed up Pinnacle’s stake in Datacentrix from 35% to 45%.

As a result of Pinnacle’s shareholding in Datacentrix surpassing 35%, Pinnacle is required by law to extend a mandatory offer to the remaining shareholders on the same terms as the acquisition.

Datacentrix shareholders are being offered one Pinnacle share for every 2,6 Datacentrix shares held.

This equates to a consideration of R4,90 per Datacentrix share, or an 8,8% premium on the 30-day volume-weighted average price of R4,50/share. Datacentrix was trading at R4,70/share shortly before the announcement.

Pinnacle said the deal, if accepted by shareholders, will give it increased access to the enterprise services market, allow for further synergies in the combined group, and allow for improved cost management.

It said, too, that it has sufficient authorised share capital in place to settle the offer to Datacentrix shareholders.  — © 2015 NewsCentral Media

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