African Media Entertainment to acquire Moneyweb


African Media Entertainment Limited will be acquiring Moneyweb, a financial media group with assets in digital publishing, content syndication and print media.

AME said it will acquire all of the issued ordinary shares of the company, excluding 1 million ordinary shares already held by AME and 1.1 million treasury shares held by Moneyweb.

The company said it has appointed a sub-committee of the board, comprising of independent non-executive directors Ms SJ Gordon and Messers VW Mcobothi and L Sipoyo, to oversee the process, which will involve the appointment of an independent expert acceptable to the Takeover Regulation Panel.

The company said the committee will provide the independent committee with advice in regard to the offer and the Scheme and make appropriate recommendations to the independent committee on behalf of Moneyweb shareholders.

The proposed transaction will be settled by the issue of shares in AME, based on a Scheme Consideration amount of R0.28 per Moneyweb share and R70.00 per AME share, which equates to an exchange ratio of 250 Scheme Shares for each AME share. The cash-based Scheme Consideration will be settled in cash.

According to the proposed agreement, should a Moneyweb shareholder, hold an insufficient number of Moneyweb shares to exchange into an AME share, then that portion of the Moneyweb shareholding which is insufficient to exchange into an AME share shall be settled in cash as if that shareholder had elected the cash alternative in respect of the number of Moneyweb shares in question.

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