AltX-listed Xantium Technology Holdings has raised R10 million through a share issue.
The company says in a note to shareholders that it issued 20 million shares to public shareholders at a price of 50c a share.
This is at a 12% premium to the 30-day volume-weighted average price of the shares to 25 November.
"The issue is in terms of the general authority granted to the directors to issue shares for cash at the annual general meeting held on 12 January 2005," it says.
The group plans to use R6.6 million of the cash raised to pay for the recently announced acquisition of Simeka Consulting.
CEO James Murray could not be reached for further comment this morning as he was in a meeting, and financial director Pieter Johnston is not in his office today.
Xantium announced the acquisition on 30 September, saying that it would pay a maximum of R33.9 million for Simeka Consulting, of which R8.6 million would be payable in cash, and the balance in shares.
The company is planning to change its name to Simeka BSG. The change of name, which also involves a change in share code from XAN to SBG, takes effect on 9 January.
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