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DiData to buy up Datacraft

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Dimension Data intends to acquire the remaining 44,9% of the Singapore-listed shares of its Asian subsidiary, Datacraft for $1,33 per share, a premium of 34% to Datacraft's closing share price of  99 cents on Monday, translating into a total purchase consideration of about $276-million.

The acquisition will be effected by way of a Scheme of Arrangement under Singapore law and is being financed with a combination of cash and equity issuance.
Dimension Data has a total worth of about $3,8-billion.
In 1997, Dimension Data first acquired a controlling stake in Datacraft, and it has been operating under a separate brand. However, its strategy, operations, and solution and services offerings are closely aligned with Dimension Data's.
Brett Dawson, CEO of Dimension Data, comments: "We are excited about the opportunity to acquire the remaining shares of Datacraft, taking into consideration the growth prospects in Asia and the competitive landscape in our industry. Integrating Datacraft as a wholly-owned subsidiary will provide greater flexibility and place us in a better position to capture market opportunities."
Datacraft's regional performance has been strong. In the second quarter of 2008, Datacraft reported revenue growth of 25,5% year-over-year and an after-tax profit increase of 24,9%.
Dawson adds: "As the controlling shareholder for the past 11 years, we know Datacraft is a solid company with an excellent management team and committed and highly skilled employee base."