The Johannesburg Stock Exchange (JSE) has received approval from South Africa’s Competition Tribunal to purchase a majority stake in Link Market Services Limited SA.
However, the tribunal’s approval is subject to various conditions that have yet to be disclosed.
In this transaction, JSE Limited will acquire a 74.85% shareholding in Link SA. Black Economic Empowerment (BEE), the other shareholder will retain the rest.
The deal will be concluded on 2nd November, 2020.
JSE Limited, ranked the largest stock exchange in Africa, is located in Sandton, Johannesburg, South Africa.
Its new acquisition Link SA is the second largest share registry business in South Africa with a clientele involving six of the top 40 issuers.
The firm offers transfer secretarial and registry services, including registry maintenance, treasury services and corporate actions such as planning and managing rights issues, elections and dividend payments on behalf of companies.
JSE CEO, Leila Fourie says, “I am very pleased with the positive outcome from the Competition Tribunal.”
This acquisition paves the way to exciting new opportunities in the issuer services space. The Link SA acquisition is part of the JSE’s ongoing strategy to grow sustainably and diversify its revenue.
Through Link SA, the JSE intends to introduce products and services to corporate entities in South Africa with a focus on shareholder communication and engagement.
The JSE is ranked among the top 20 bourses in the world in terms of capitalization and is the largest exchange in Africa with a history spanning over 130 years.
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