Ayo’s ‘unfair’ PIC payment poser
The company’s forced share buyback from the PIC, for R619m, has been described as unfair but reasonable — which could produce a curveball or two when shareholders vote on the decision this month
Ayo Technology Solutions’ recently released circular has good and bad news for shareholders. The good news is that the independent experts reckon the share is worth between R4.94 and R5.20 — a generous surplus on the R1.30 at which it’s trading.
The bad news is that the group’s cash resources have plunged to a mere R480m from R1.1bn. That was a result of having to fork out R619.4m to the Public Investment Corp (PIC) for the 17-million shares it was forced, by a court-endorsed agreement, to repurchase from it earlier this year. ..
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