Strathmore Announces 15% Buy Back Of Capital With CommSoft Shares As Consideration
Directors recommend shareholders not sell pending finalisation of terms and structure of offer
AUCKLAND – 24 July 2000 – Internet and technology investment company, Strathmore Group Limited (NZSE: SMR) today
announced a pro rata offer to buy back 15% of the company’s capital. The offer will be made to all shareholders recorded
on the register as at 4 August 2000 and will be funded by the provision of shares in Strathmore investee company
CommSoft Group Limited. Strathmore shareholders will receive the formal offer form and buy back information memorandum
containing the share ratio details in August and will have ten days in which to take up the offer. The directors of
Strathmore have indicated their intention to accept the buy back.
Strathmore’s Executive Chairman, Phil Norman, said that both Strathmore board members and cornerstone investors
supported reshaping the balance sheet through a return of capital to shareholders. In addition the cornerstone and
institutional investors in Strathmore, which include Advantage Group, Cullen Investments and New Zealand Funds
Management, have indicated their intention to accept. These companies, together with the directors, hold a combined
shareholding in Strathmore of approximately 38%. The relative stakes of all shareholders will remain the same after the
buy back should remaining shareholders accept the offer.
An international leader in the development of niche software products for the telecommunications industry, CommSoft’s
success has been driven by strong market share and sales channels in New Zealand, Australia, the United Kingdom and
South Africa. “Its international presence, strong management team and established CMS and CRM software have made it an
attractive prospect for investors looking to invest in a growth company in a growth industry,” says Norman.
Strathmore will announce further details about the offer over the next few weeks as the final documentation process is
completed regarding the offer itself and associated statutory compliance issues.
About Strathmore Group Limited
Strathmore Group Limited is a technology investment company with approximately $NZ 19 million of shareholders’ funds. It
targets Internet, e-Commerce and information technology companies with potential to deliver accelerated growth in
shareholder value by competing in global markets. It provides strategic advice, capital support, operational assistance,
industry expertise and a network of relationships to assist technology companies to migrate internally.
ENDS
For further information, please call:
Phil Norman, Executive Chairman, Strathmore Group Limited
Tel +64 21 667 210, E-mail: phil.norman@strathmoregroup.com
Allan Botica, Director, Botica Conroy & Associates
Tel +64 9 303 3862, E-mail: allanb@bca.co.nz