JSE-listed laggard Zaptronix has concluded an empowerment transaction with Royal Bafokeng Capital.
The deal sees Royal Bafokeng pay R18 million for a 30% shareholding in the company.
According to a statement posted to shareholders yesterday, Royal Bafokeng procured the shareholding from Strider at a price of 16c per share. The investment company has an option to acquire a further 113 million shares, also at 16c per share.
However, analysts question the basis of this pricing, as the share has been trading at 5c or less since the middle of last month.
One analyst, who asked not to be named, explains: "Zaptronix is this industry`s poorest performer. In the last 12 months, the company has not seen its share price rise above 12c. I`m not sure why the group would agree to pay a more than 300% premium on the average trading price."
Zaptronix says the transaction will facilitate its classification as a broad-based black economic empowerment company.
It adds that it does not expect changes to its board. Recently appointed chairman, Tshepo Kgage, is also executive of finance and administration at Royal Bafokeng Holdings.
The announcement saw Zaptronix`s share price rise 80% to close yesterday at 9c.
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