· CYBER1 acquires 50% of Cyber Security South Africa (“CSSA”) and Cyber Security Africa Distribution (“CSAD”).
· Both CSSA and CSAD are prominent cyber security providers within
· Combined CSSA and CSAD revenues in 2020 were
· Total consideration for 50 % of CSSA and CSAD are
· Acquisition terms include exclusivity rights for CYBER1 to purchase remaining 50 percent of CSSA and CSAD before
The Target Companies showcased an aggregate revenue in 2020 of
The total consideration payable by CYBER1 for the transactions are
The Purchase Issue entails a dilution of approximately 15.4 percent from shares issued and an additional approximately 13.3 percent at full exercise of the warrants (in both cases before new shares and warrants issued in the Units Issue).
The terms of the acquisitions also includes exclusivity rights for CYBER1 to negotiate a purchase of the remaining 50 percent of the Target Companies in cash before
As has been indicated in the quarterly reports, CYBER1 previously announced a Letter of Intent to acquire CSSA and CSAD. The Board provided a confirmed separation of responsibilities, with CEO of CYBER1
Cyber Security South-Africa (CSSA) is an industry-leading, value-added, Cyber Security Technology Distributor, backed by globally recognised international vendors. The company offers a comprehensive list of solutions, aimed at mitigating information security risk - working through trusted local channel partners. The consultative approach of firstly assessing the current Security Posture and level of maturity, ensures they understand the strategic vision and long-term goals of the end-user. Over the years, the team has built strong relationships at both the end user and partner level, which creates a significant advantage compared to the traditional distribution model that is apparent within
Cyber Security Africa Distribution (CSAD) is an industry-leading value-added Distributor with a single-minded focus – the mitigation of information security risk for their clients. The company focusses their attention on niche, generally complex and certainly relevant security solutions, aimed predominantly at enterprise and mid-market clients. CSAD provides services to the continent of
The acquisition of these businesses complements the existing entities within CYBER1, with a number of clear synergistic opportunities to be realised, ranging from increased market share to deeper relationships with the leading vendor solutions across the globe. The Company has ensured that its approach of expanding operations within existing markets will ensure growth that is sustainable and measured.
CEO of CSSA/CSAD Robert Brown commented: “I am extremely delighted that CSSA and CSAD are joining the CYBER1 family of companies. Having created the initial subsidiaries that form what CYBER1 has become today, having the opportunity to combine these high growth assets to the platform of CYBER1, will have a significant collective benefit. Utilising skills and expertise to drive organic growth from within will be the key to further profitability, as demonstrated with CYBER1’s positive Q1 results. I look forward to unlocking the synergies of the combined companies, that will further increase our presence in
Subject to mandatory regulatory requirements, the Purchase Issue shall be put forward for approval by no less than 90 percent of the votes cast at the annual general meeting on
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