MARC HASENFUSS: Can a ‘Mickey Mouse’ company take on a JSE giant?
"How can a Mickey Mouse company with a R100m market capitalisation take on Naspers with its deep pockets and a deep understanding of the market?"
Disneyland it was not, but last week’s AGM of Cognition Holdings had its fair share of goofiness and irksome Mickey Mouse references. Readers may have already noted that media magnate William Kirsh is resisting proposals for Cognition to acquire a majority stake in the Private Property online portal from Caxton and CTP Printers & Publishers for R127m. The deal will be scrip-settled, and minority shareholders have been asked to waive their rights to a mandatory offer. The Kirsh family speaks for just 5.4-million Cognition shares, while Caxton already controls 34.7% of Cognition — and will push its stake to 65% if the Private Property transaction is approved by shareholders at an upcoming GM. Caxton’s larger shareholding will do nothing for the liquidity of the already tightly held Cognition share. The AGM itself was an emotional affair with Cognition shareholder Chris Logan lambasting the board for contemplating the Private Property deal and for snuffing out shareholder returns over ...
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