Shares in Ayo Technology Solutions and African Equity Empowerment Investments (AEEI) fell on Monday as the associate companies said they had run out of time to transfer shares in British Telecommunications SA (BTSA) between themselves. Ayo said in May it had agreed to buy AEEI’s 30% stake in BTSA for R990m. AEEI, which is part of Iqbal Surve’s Sekunjalo Group, listed IT business Ayo in December 2017. However, the companies said on Monday the agreement had lapsed. They were in talks to have it restored and "shareholders will be advised should the agreement be reinstated". A spokesperson for Ayo said the parties "are resetting timeframes and will alert the market accordingly". Ayo’s share price closed 13.8% lower at R25 on Monday – well below its listing price of R43. AEEI lost 11.9% to close at R4.76. The declines preceded the afternoon announcement. In May, Ayo and AEEI said JSE-approved independent corporate advisory firm Questco believed the deal was "fair" to Ayo’s shareholders. ...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.

Questions or problems? Email or call 0860 52 52 00. Got a subscription voucher? Redeem it now