Brainware is to shed two more of its interests, Aqeuro Holding and Brainware ILC, for a total R10 million, leaving the company with only two businesses to sell.
The disposal of Aqeuro has hit a snag, with Brainware having to institute legal action to obtain a bank guarantee from the purchaser.
The company says the suspension of the share on the JSE, which was requested by the board in late August, will continue.
"Given the uncertainty relating to the outcome of the disposal of the remaining interests and the fact that the Aqeuro purchasers have not provided the required bank guarantee, the board has considered it prudent not to request the JSE to lift the suspension of Brainware`s securities at this stage.
"However, it is the board`s intention to do so as soon as it becomes practical," it adds.
The board asked for the share suspension because it said different levels of information were circulating in the market. It added that it could not resolve the matter by publishing announcements, given the fluid nature of its disposal process.
Once the disposal process, announced in May last year, has been completed, the company will revert to the cash companies sector of the JSE and decide whether to use remaining cash, if any, to pay a final dividend and de-list, or make the required acquisitions in line with JSE regulations.
In terms of JSE rules, a company in the cash shell sector has six months to make acquisitions or terminate the listing.
Brainware is to sell its 8% stake in Aqeuro, on a "voetstoots" basis, to Thornwood Ventures for R7 million. However, Brainware says Thornwood is in breach of the disposal agreement as it has not provided a bank guarantee.
"Brainware has instituted legal proceedings to obtain the guarantee and shareholders will be informed if and when such guarantee is provided," it says.
The company`s 60% interest in Brainware ILC has been sold to a management consortium for R3 million.
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