Absa Capital further underscored its private equity credentials today when a consortium of private equity investors, co-led by Absa Capital Private Equity (Pty) Ltd (Absa Capital Private Equity) and Vantage Capital Group (Pty) Ltd (Vantage Capital), announced that they had acquired the entire issued ordinary share capital of the JSE-listed Kwikspace Modular Buildings Ltd (Kwikspace).
The consortium comprises Absa Capital Private Equity, Vantage Capital and certain members of the Kwikspace management team.
The offer - R8 a share for a total consideration of R683 m – was made to acquire the entire issued ordinary share capital of Kwikspace, excluding those shares held by Vantage Capital and certain other shares held by the current management team.
Andre Pieterse, CEO of Absa Capital Private Equity, said that he was delighted to acquire Africa’s largest and most diverse manufacturer of factory-built modular homes, clinics, offices and classrooms.
“The offer was implemented by way of a scheme of arrangement between Kwikspace and its shareholders, other than Vantage and Kwikspace management, in terms of section 311 of the Companies Act,” said Pieterse.
Mutle Mogase, Vantage Capital’s director on the board of Kwikspace commented: “We have a long-standing relationship with the company which dates back to 2006 when we first acquired a 30% shareholding as BEE investor. This buyout represents a new and exciting phase in this relationship.”
All conditions precedent to the scheme were fulfilled and the scheme consideration was paid to shareholders on Monday, 23 February 2009.
The listing of Kwikspace shares was terminated at the commencement of today’s trading.
Kwikspace has been building a wide variety of modular building units for more than 30 years and exporting to many parts of Africa, South America and the Middle East - supplying customers in the private, industrial, commercial and government sectors.
Kwikspace has factories in Johannesburg, Durban and Cape Town, with sales offices situated in most major cities throughout the country.
+27 11 214 2406
+27 82 561 7172
For further information contact:
CEO: Absa Capital Private Equity (Pty) Limited
+27 11 895 6968
Director: Vantage Capital
+27 11 530 9103
+27 11 895 6695
+27 79 695 9798
Note to the editor:
About Absa Capital
Absa Capital, a division of Absa Bank Limited (Absa) and affiliated to Barclays Capital, is a leading South African investment bank with global reach, offering clients financing, risk management and advisory solutions in a wide range of currencies and structures across the globe.
Absa Capital Private Equity
Absa Capital Private Equity (Pty) Limited is a specialist team of dedicated private equity investment professionals from diverse fields who focus on creating post-deal value to maximise investment returns. Absa Capital Private Equity is one of the most prominent private equity fund managers in South Africa.
Vantage Capital is a majority black-owned private equity group which manages proprietary capital and third party funds of over R2 billion including Africa’s largest independent mezzanine debt fund. Vantage Capital is currently raising a second mezzanine debt fund of between R2-3 billion. Vantage Capital also manages a technology fund and a proprietary private equity portfolio.