Metrofile Holdings has entered into discussions with New York Stock Exchange-listed Iron Mountain, which could see the holding company acquired by the US-based document storage group.
Last year, Metrofile Holdings acquired the minority 35% shareholding in operating company Metrofile through a R142 million recapitalisation programme, which saw 188.9 million shares issued at 75c each. The company went on to purchase Rainbow Waste Paper for an undisclosed amount earlier this year.
In a statement to shareholders late yesterday afternoon, the JSE-listed holding company advised that Iron Mountain had submitted a non-binding expression of interest to the Metrofile board.
The expression seeks the entire issued share capital of Metrofile, other than the 25% shareholding held by the Mineworkers Investment Company, for a price of R1.40 per ordinary share. The offer is a 5.3% premium on its 30-day volume weighted average price to the date on which the offer was received, says Metrofile.
The Metrofile board has established a sub-committee of independent directors to manage the process relating to the non-binding expression of interest and is currently in discussions with Iron Mountain.
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