An undisclosed company has made a play for Blue Label Telecoms, with discussions now under way, the JSE-listed telecommunications group said on Wednesday.
In a cautionary announcement to shareholders, Blue Label stated that a nonbinding expression of interest (EoI) to acquire all the issued shares in the company had been received.
However, the company cautioned that the EoI and related talks were not an indication of a firm intention or offer and it was “possible” that no offer could emerge.
Brothers and joint CEOs Brett Levy and Mark Levy founded the Johannesburg-headquartered group in 2001, with operations now spanning Mexico, South Africa, India and the UK, and the employee complement growing to over 1 000.
In the financial year ended May 31, Blue Label posted a 6% rise in headline earnings a share to 67.98c, while earnings before interest, taxes, depreciation and amortisation increased 10% to R788-million.