Sombre times on the JSE offer opportunities to cash in on the trend of companies delisting after making an offer to buy out minority shareholders. It’s not that difficult to spot potential delisting candidates, even if, these days, the buyout premium offered to relieve minorities of their shares may not always be generous, or even fair.

Counters that are scantily traded with no need to raise fresh capital on the market are probably being prudent in going private. As are those with more cash than is needed to fund operations; those with a modest p:e multiple; or those trading at a vast discount to their assets.

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