Latest news with #AYO
IOL News
5 days ago
- Business
- IOL News
AYO Technology Solutions: share repurchase agreement was executive in good faith
AYO Technology Solutions has affirmed its support for the JSE's ongoing commitment to market transparency and investor confidence,' Image: Armand Hough / Independent Newspapers. AYO Technology Solutions said Thursday that a share repurchase agreement with the Public Investment Corporation (PIC) in 2023 was executed based on advice from advisors at the time and was made in good faith and in alignment with the legal guidance provided. 'AYO acknowledges the JSE's decision to issue a public censure and to suspend the application of a fine for five years and affirms its support for the JSE's ongoing commitment to market transparency and investor confidence,' the company said. AYO stated that the period surrounding the PIC settlement was marked by a wave of media scrutiny and speculative reporting, much of which misrepresented the intent and content of the agreement. 'AYO remains committed to correcting the narrative by continuing to act in the best interests of its shareholders and in compliance with the regulatory framework that governs its operations. AYO has co-operated fully with the JSE throughout this process and takes its obligations under the Listings Requirements seriously,' the company said in a statement. AYO had been trading under cautionary from 6 March 2023 due to legal proceedings between the company, the PIC, and its main client, the Government Employees Pension Fund (GEPF). On 24 March, AYO announced that legal proceedings between it, the PIC, and the Government Employees Pension Fund (GEPF) had ceased following an amicable settlement agreement between them. The terms of the agreement were not disclosed in this announcement, as the parties in the dispute had cited the terms as 'confidential.' The next day, the terms were published in the media that AYO had agreed to repurchase shares from the GEPF for around R600 million; there was a further repurchase option granted to the GEPF, while certain minority protections were afforded to the GEPF. The JSE then stated that the terms of the repurchase needed to be published. On 4 April, the JSE directed AYO to publish a further supplementary SENS announcement, which was done on 18 May, with all the required information. BUSINESS REPORT Visit:
IOL News
23-05-2025
- Business
- IOL News
Sekunjalo moves to take AYO private, citing growth prospects
Sekunjalo said it believes taking AYO private represents a strategic step that will unlock significant value and better position the company for sustained growth. Image: Independent Media File Sekunjalo Investment Holdings has made a firm offer to acquire all remaining shares in AYO Technology Solutions Limited, the country's largest black-owned and managed ICT investment group, signalling its confidence in the company's long-term value. Sekunjalo, which already holds a 45% majority stake in AYO, announced on Thursday it has also proposed a voluntary delisting of the firm from the Johannesburg Stock Exchange (JSE). The offer would allow shareholders to either exit with liquidity or remain invested in a private structure poised for future expansion. I n a statement, Sekunjalo said it believes taking AYO private represents a strategic step that will unlock significant value and better position the company for sustained growth. 'Delisting AYO will enable the company to focus on execution and transformation, rather than the administrative burdens and volatility associated with public markets,' the group said. 'We remain committed to supporting inclusive economic empowerment and using technology as a lever for growth across the continent.' Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Sekunjalo highlighted its track record with other companies it has taken private, including Premier Fishing and Brands and African Equity Empowerment Investments (AEEI), noting that both had flourished outside the constraints of the public markets. The group cited several reasons for pursuing a delisting, including the high costs of maintaining a JSE listing, regulatory restrictions on agile decision-making, and what it termed the persistent misrepresentation of AYO's history in the public domain. These factors, it said, have hampered the company's ability to contribute meaningfully to South Africa's digital economy and capital markets transformation. Sekunjalo's association with AYO dates back more than two decades, through early investments made via Sekunjalo Healthcare and later HST.
IOL News
23-05-2025
- Business
- IOL News
AYO Technology shares surge 20% following Sekunjalo Investment Holdings' acquisition offer
Shares in technology group AYO Technology Solutions Limited (AYO) leapt 20% after Sekunjalo Investment Holdings (Sekunjalo) on Friday confirmed that it has made a firm offer to acquire all remaining ordinary shares in South Africa's largest black-owned and managed ICT investment group not already held by it or its related parties. Sekunjalo currently holds a 45% majority shareholding in AYO. Sekunjalo has also submitted a proposal for the voluntary delisting of AYO from the JSE. "Sekunjalo will acquire the Offer Shares, being a maximum of 155 331 790 shares, in respect of which valid acceptances are received prior to the closing date of the Offer, for a total maximum Offer Consideration of R80 772 531," AYO said. It said the Offer will be subject to the condition that the proposed delisting, pursuant to the voluntary delisting provisions of the Listings Requirements, is approved by at least 75% of shareholders present or represented by proxy at the General Meeting and the JSE. Sekunjalo said in a statement, "We hope shareholders will remain on this journey with us, but we also recognise that some may prefer to exit. This offer allows for both – providing liquidity to those who wish to sell and stability for those who believe in the future of AYO. "Sekunjalo firmly believes that transitioning AYO into a private company is a strategic and positive step that will unlock significant value and better position the company for long-term growth." The shares in AYO by midday Friday on the JSE surged 8 cents to 48 cents. Sekunjalo also said that it has a proven track record of investing in and supporting companies post-delisting, including Premier Fishing and Brands and African Equity Empowerment Investments. It said these, and others, have flourished outside the constraints of public markets."The same opportunity now exists for AYO," it added. The decision to propose delisting is underpinned by several factors, including the high cost of maintaining a listing, the limitations imposed by regulatory requirements on agile decision-making, and the persistent misrepresentation of AYO's history in the public domain, which has hampered its ability to grow and contribute meaningfully to South Africa's digital economy and capital markets transformation, Sekunjalo said. Sekunjalo has been a long-term investor in AYO for more than two decades, dating back to its original investments through Sekunjalo Healthcare and later HST. The Group remains deeply committed to technology as a lever for inclusive economic empowerment and continental growth. AYO, which maintains a diversified technology investment portfolio with strong underlying subsidiaries, stands to benefit from the ability to pursue its strategy without the volatility and distractions of public listing status. Sekunjalo strongly believes that AYO's executive leadership, who have already stabilised operations and streamlined cost centres, will be better placed to drive innovation and expansion in a private structure. Sekunjalo said, "Delisting will allow the company to focus its energy on execution and transformation, rather than compliance and litigation. This is about putting AYO and its subsidiaries in a position to thrive - here at home and across the continent." AYO said, in accordance with the requirements of the takeover regulations, it has constituted an independent board comprising Rosemary Mosia, Sello Rasethaba, and Adv Ngoako Ramathlodi (Independent Board) for purposes of evaluating the terms and conditions of the offer. BUSINESS REPORT
