AST Group has finalised the disposal of its Bentley West operation.
In July 2003, the group sold as a going concern the assets and liabilities of Bentley West to AST-A subsidiary Bentley West Strategic Consulting. AST-A is in turn a subsidiary of AST Group.
The sale, which carried a price tag of R2.87 million, excluded the cash held by the division. The price is being paid to AST-A in eight biannual instalments from 31 December 2004.
AST says it has agreed to dispose of 50% of the shareholding in Bentley West - 120 shares at R1 a share - to Bentley West management with effect from 30 June 2004.
As the deal was classified as a related-party transaction, AST appointed KPMG Services as an independent adviser to consider whether it was fair and reasonable to AST shareholders. AST says KPMG was satisfied that the deal met these criteria.
"All conditions precedent to the disposal, including approval by the board of directors of each of AST-A and Bentley West, the conclusion of a shareholders` agreement, the consent of the funders of AST-A and the management of Bentley West signing restraint of trade agreements have been met," it adds.
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