ERP.com aggress to sell all their shares

In an official release it has been revealed that ERP.com has been offered for sale. It was a long term rumor doing rounds in the industry and this proposal has answered the question of all those concerned directly and indirectly. There was also a wide speculation in the press with regards to the sale of the company and therefore this announcement has also cleared all other news associated with it.

The reasons for the proposal have also been announced. It is understood that the company has decided on this due to several reasons. One of the major reason is that the organization is not interested in deviating from its strategy which has for long been information risk management. Since they have not been to do this the company has decided to dispose itself and form a new entity owned by different group or groups of shareholders.

As per this proposal the purchasing company Steyns will make payments through transferring their shares in ERp.com. This proposal will take place through the transfer of 1 million shares. Te value of each share is calculated at the rate of R1, 45. These shares will be owned by another company. This company happens to the subsidiary of ERP.com. These shares will be categorized under the head treasury shares.

The world famous auditing agency KPMG has been appointed as the adviser to review the financial terms and other conditions. Accordingly they have reviewed and as well as found it to be fair and in accordance with the set norms and procedures of the industry and it has also found to be in tune with the market prices.

This is not the first time the management of ERP.com has taught of making a sale. Even in the beginning of the year there were proposals from other organizations. It is also learnt that two companies have approached ERP.com with a proposal to buy. However they consumed large amount of time in the whole process. This was not acceptable to the senior management of ERP.com. The main reason was that they wanted the sale to materialize as early as possible. Since this did not take place the proposal was dropped.