Majority shareholder offers premium to take Verimark private
Van Straaten Family Trust and related entities propose buyout offer of 150c per share to take the company off the JSE
The majority shareholder in direct retailer Verimark will pay a sizeable premium over average market prices to take the company off the JSE. On Friday Verimark — which made an unsuccessful attempt to delist in 2007 — detailed a buyout offer of 150c/share from the Van Straaten Family Trust (VFT) and related entities. Verimark was founded on 1977 by Michael van Straaten, who still serves as the company CEO. The VFT and related entities hold 71% of Verimark’s issued shares. The offer represents a 50% premium to the volume weighted average price (VWAP) of the company’s shares on October 22, when a cautionary was first issued around a possible buyout offer. The offer also represents a 39% premium on Verimark’s share price of 108c at close of business on Thursday. The share surged more than 25% on Friday, suggesting investors had anticipated a lower offer than the 150c/share tabled. While Verimark’s delisting attempt in 2007 — pitched at 50c/share — saw vehement opposition from minority s...
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