Zaptronix shareholders have given the board the go-ahead to issue just more than 39 million shares to Hitachi Europe, giving Hitachi a 27% stake in the company.
Zaptronix says the approval was unanimous. The shares are to be issued at 41c each, raising R15.99 million for Zaptronix.
The company says Hitachi`s stake will give it a technological edge in sharing Zaptronix`s development and e-commerce expertise in both its local and offshore operations.
The deal follows an earlier agreement in terms of which Hitachi and Zaptronix will work together to develop a range of smart commerce solutions.
Zaptronix is a designer and manufacturer of smart card based devices, peripherals and systems. The company is active in numerous e-commerce initiatives, providing hardware, such as kiosks, terminals and other client-side devices, as well as the design and supply of middleware and back-office software, Internet-based loyalty and related smart card systems.
Zaptronix reported an interim net profit of R6.1 million on a turnover of R18.2 million, with attributable profit of R3.9 million at the end of October last year.
Had the deal taken place in the six months to 31 October last year, earnings per share would have been 1.0% higher at 4.16c and net asset value per share, including intangibles, would have fallen 11.62% to 60.68c.
Hitachi and Zaptronix will develop a range of smart commerce solutions, including low-cost point-of-sale terminals and Internet kiosks for retail, and applications targeted at the public sector.
Zaptronix is to design devices to deliver secure content over virtually any medium, including CD, DVD, satellite, multicast, as well as interactive data networks such as the Internet.
The companies expect to deliver more than a million devices across Europe, the Middle East and Africa over the next 12 months.
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Hitachi takes 27% stake in Zaptronix
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