Cape Empowerment Trust (CET) says it has settled the dispute between itself and Paradigm over the sale of Intella. The settlement is final and any pending litigation has been terminated.
The dispute between CET, Bohumi Capital and Paradigm arose in August last year over the sale of Intella, Paradigm`s IT and communications division.
The settlement sees Bohumi waive its right to 72 million CET shares at 100c per share. Paradigm will return 15 million CET shares at 100c per share to a CET nominee.
Paradigm announced the sale of Intella to CET in August last year for R147 million cash.
The price was based on warranted profit after tax of R20 million for the year to 30 June and was capped at R222 million if Intella exceeded its profit warranty.
The deal happened at a time when Paradigm was focusing its business on financial services and CET was moving exclusively into IT.
Intella operates in the communications, management and transactional solutions fields.
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