Caxton Publishers & Printers Ltd has upped its stake in Moneyweb Holdings, the financial content company that produces Moneyweb.co.za, Miningweb, Marketingweb and a host of smaller properties, as well as Alec Hogg’s syndicated radio show (broadcast on SAFM, RSG and Lotus FM). Moneyweb also produces the business news section of Caxton-owned The Citizen.
Caxton acquired a 35% shareholding in Moneyweb late last year and, after the latest share acquisition (valued at R10 660 397), holds 73 827 766 ordinary shares in the company, which is 68.50% of its issued share capital.
The deal values the company at R100 million, according to founder Alec Hogg. Caxton injected R20 million into the company in cash for shares last year. Moneyweb’s board will be joined by TD Moolman and PG Greyling – both from Caxton.
Pre-emptive right
According to Hogg, he exercised his pre-emptive right to buy out the shares of his ex-wife, Louise Hogg, and bought three million of her shares to increase his stake in the business while selling the balance to Caxton.
“In a field like ours which is moving so rapidly and where there are so many exciting opportunities, [it] makes sense to have a partner with substance,” comments Hogg. “We have around R25 million cash in the bank so watch this space.”
The initial deal with Caxton centred on the rollout of a national platform of hyperlocal community websites under the single Looklocal brand. Caxton owns a profitable stable of community titles across the country and expectations are that 52 online communities will be rolled out over the course of three years.
Read the full story on Moneyweb.