Capital Appreciation Limited (JSE:CTA) acquired Responsive Digital Proprietary Limited on March 1, 2022. In a related transaction, Capital Appreciation Limited concluded the agreement to acquire Responsive Tech Proprietary Limited and 71% stake in Rethink Digital Solutions Proprietary Limited. Capital Appreciation paid a total consideration of ZAR 48.68 million to be settled by a combination of cash and allotment of shares out of treasury shares. An initial aggregate purchase consideration of ZAR 19.89 million to be settled in (i) a cash payment of ZAR 8.15 million, and (ii) the allotment out of treasury shares of 6,789,042 CAPPREC shares at ZAR 1.73 per share amounting to ZAR 11.74 million on the effective, closing date. Responsive Tech and Responsive Digital have also provided CAPPREC with a profit warranty for a 25-month period, March 1, 2021 to March 31, 2023, that, if achieved, will result in an aggregate warranty purchase consideration which should not exceed ZAR 14.20 million, which will be settled, partly in cash and partly in an allotment of shares out of treasury shares. Responsive will form part of CAPPREC's Software division. The Board of Capital Appreciation have unanimously approved the acquisitions. All conditions precedent have been fulfilled. Investec Bank plc acted as financial advisor to Capital Appreciation.

Capital Appreciation Limited (JSE:CTA) completed the acquisition of Responsive Digital Proprietary Limited on March 1, 2022.