Dynamic Technology Holdings (DTH) is a step closer to being delisted from the Johannesburg bourse, after all shareholders voted in favour of a buyout deal.
The company on Friday told the market that shareholders voted overwhelmingly in favour of the bid by Xantha Properties to buy it out for R30 million. DTH could be delisted by the end of next month if all the other conditions are met.
The south Gauteng High Court in Johannesburg needs to sanction the scheme and DTH hopes to have a hearing on 3 August. Its decision must then be registered with the Companies and Intellectual Property Registration Office.
DTH says it is an empowered software and services business, and provides software solutions, mostly based on the Microsoft platform. According to its Web site, the company employs more than 140 staff and has offices in Johannesburg and Cape Town.
In June, DTH said Xantha Properties had offered to buy the company for R30 million, which could result in it being delisted.
Xantha, which is mostly controlled by some of DTH's management team, is offering R30 million for 28.8 million DTH shares. The bid equates to R1.05 a share, which was a 50% premium on DTH's share price of 70c at the time of the announcement.
DTH said in June that the cost of maintaining a listing is not worth it, especially as its shares are rarely traded and it would find it difficult to issue stock for cash to fund an acquisition.
However, the company's share price recovered after the buyout offer was made public, and closed on Friday at 100c, just 2c short of its 52-week high of 102c on 2 July.
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DTH set to delist
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