LogicalOptions says the disposal of assets and liabilities of the LogicalOptions business has now become unconditional. Shares will be suspended on the JSE from 10 April.
This follows the announcement by the board of LogicalOptions that its shareholders voted in favour of the Cardinalis offer to buy the assets and liabilities of the LogicalOptions business on 15 March 2001.
As a result, all LogicalOptions companies, with the exception of Paracon, will be transferred from the existing holding company to Cardinalis Investments.
Cardinalis, a company controlled by funds under the management of Brait Private Equity, offered to purchase the assets and liabilities of LogicalOptions, with the exception of the 41.33% stake in IT company Paracon, in November 2000.
The listing of LogicalOptions shares on the JSE will be suspended from 10 April and the company`s name will change from LogicalOptions to LogOpt Limited.
The company has been authorised to reduce its share premium by R616.7 million, resulting in a cash distribution to LogicalOption shareholders of 692c per share.
"We are very pleased that the disposal has become unconditional and believe this deal to be a very good offer for our shareholders, as it has enabled us to compensate our shareholders and provide them with a means to exit with value," says Charles Rowlinson, CEO of LogicalOptions.
"The underlying value in LogicalOptions can better be realised in an unlisted entity, unrestricted by a low rating on the JSE and a lacklustre market for our sector shares."
The restrictions on the unbundling of the Paracon shareholding have been removed, and the board will now go through the process of disposing of its Paracon shareholding, subject to shareholder approval.
"We are very excited about the prospect of being a private group, with greater focus, flexibility and transparency. Changes in the South African competition law and our low rating on the JSE placed constraints on the group`s ability to conclude suitable acquisitions which hinders growth, an important requirement, I believe, for a listed company," concludes Rowlinson.
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