Investment Group Blackstar Plans Times Media Group Acquisition

December 8, 2014 Mzwandile Jacks Investing, M & A

VENTURES AFRICA – Investment holding firm, Blackstar, has proposed to acquire the JSE-listed media giant, Times Media Group (TMG), for R500 million ($43.6 million) in cash, it emerged on Monday.
Blackstar’s intention has been submitted to the TMG’s board of directors and the board has appointed an independent board to consider the proposal.
The Blackstar board of directors and the TMG Independent Board have indicated their willingness to engage on an amicable and constructive basis regarding the negotiation of the proposal.
The investment firm currently owns about 32.5 percent of the TMG shares and intends, subject to the fulfilment or waiver of certain conditions, to acquire the remaining 67.5 percent of the TMG shares which will result in TMG becoming a wholly-owned subsidiary of Blackstar.
It has also proposed that TMG declares a pre-acquisition
dividend of 30 SA cents per TMG shares immediately the acquisition becomes unconditional.
Blackstar was established in 2005 to participate in African listed and unlisted investment opportunities with the underlying themes of strategic market position, strong cash flows and the capability to extend the reach of its South African base into the African continent.
The investment firm has accomplished excellent returns, in South African Rand terms, since its establishment and continues to extract value in a
pro-active manner and a hands-on approach to investment management.