Corporate: Workplace health solution Konekt gets a $52 million takeover offer
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Konekt (ASX:KKT) has jumped 67 per cent this morning after becoming the latest small cap to receive takeover interest from a bigger company.
Disability employment services giant, Advanced Personnel Management (APM) want to buy 100 per cent of the HR tech platform for 49 cents per share – or $51.8 million all up.
APM boss Michael Anghie noted the two companies were complimentary and declared the takeover would enhance the services the firms offered their clients.
The offer is expected to occur in mid-December with a vote early that month. This follows a poor 2018 for the company which left its share price stagnant for most of 2019.
This was despite statutory earnings of $10.3 million for the last financial year.
Food Revolution Group (ASX:FOD) chairman Norman Li has bought another $162,445 in shares and now owns 36.6 per cent of the company. His stake is now worth over $17 million. Li first bought in last September as a strategic investor. The company also announced the upgrade to its processing facility, which is on track for commissioning by the end of this year.
In a trading update this morning, Baby Bunting (ASX:BBN) has announced comparable stores sales growth of 3.1 per cent and gross profit margin of 36.6 per cent so far in FY20. It anticipates a net profit after tax of $20-$22 million for the full year. . While shares fell 4 per cent this morning they are up 62 per cent since the start of 2019.
The US Bankruptcy Court has given its blessing for City Chic Collective (ASX: CCX) to acquire the e-commerce assets of bankrupt retailer Avenue Stores. City Chic will pay $US16.5 million ($24.5 million) to acquire its IP, website, customer database and inventory. Avenue made $US27 million ($40 million) in the first five months of 2019. The deal does not include its 250-strong ‘brick and mortar’ store portfolio.