News

The Huge Group is setting a premature deadline regarding its offer, company says Adapt IT has warned shareholders not to be pressured into making a decision regarding an unsolicited buyout offer by technology company Huge Group. Earlier this year, Huge made an R800m takeover bid for its peer Adapt IT, which provides software solutions to the education, manufacturing, energy, financial services, communications and hospitality sectors. Adapt IT is also reviewing an offer from Canadian-based Volaris. On Wednesday, Adapt IT, headed by CEO Sbu Shabalala, said it has received information that some of its shareholders are being coerced to make a decision about the Huge offer by April 22. However, shareholders have until July 23 to do so. “It has come to the company’s attention that certain central securities depository participants are requesting Adapt IT shareholders [to] respond to the Huge offer by [Friday], April 22 2021, which is not the deadline for the offer,” said Adapt IT. “Adapt...Read More

Software company Volaris Group offers R6.50 a share in all-cash bid for SA tech group Technology group Adapt IT, which recently had a takeover bid by telecoms company Huge Group, has received an all-cash offer for its business from a Canadian software company. On Wednesday, Adapt IT said it had received an offer for 100% of its shares by Volaris Group. The company has offered R6.50 a share, which represents a premium of 56.3% to the closing price of Adapt IT's shares as at April 1. Adapt IT, which provides software solutions to the education, manufacturing, energy, financial services, communications and hospitality sectors, had been subject to an R800m takeover bid from Huge Group in the first quarter of this year. The new offer values Adapt IT at about R1bn, while its market cap stood at R640.4m on Wednesday. Adapt IT said the deal with Volaris would result “in a well-governed diversified SA technology company with high growth ambitions being backed by a well-capitalised leading...Read More

Viv Govender of Rand Swiss on the market after local GDP numbers. Adapt IT CEO Sbu Shabalala on decent interim results as annuity income grows. AfroCentric CEO Ahmed Banderker on diversity boosting its interim results....Read More

...Read More

BUSINESS MAVERICK: Adapt IT bounces back — and now has to deal with an unsolicited offer from Huge Group Small-cap shares are a bit unloved on the JSE right now, but software company Adapt IT has survived the tough climate of 2020 and is aiming for growth. Shareholders and unwelcome suitors have noticed. It took small-cap software company Adapt IT a lot longer to recover from the beating that listed shares took in March 2020. That was when investors took fright at the looming coronavirus pandemic, causing global markets and the JSE to plunge by 25% or more over four days. While markets had almost fully rebounded by late July, Adapt IT was still hovering at R1.17 in late September, well off the R3.70 at which it started the year.But that changed in the same month when the company released its results for the year to 30 June 2020 which reassured investors that it was not going down the tubes, it was cash-flow positive and could manage its debt. Don't want to see ads?Since then the share...Read More

Sbu Shabalala...Read More