Ignitive becomes third bidder in sale of INM's €200m South African unit
A third bidder has entered the fray to buy INM's €200m -plus-valued South African business, with the sale process being handled by advisers Investec and Hawkpoint.
It is understood INM was approached last week by the Ignitive consortium, backed by the Pan-African private equity fund, acording to African sources. South African investment firm Sekunjalo has also been linked to a bid, as has tycoon Cyril Ramaphosa's Shanduka group.
The sale of INM's South African business is seen as a game-changer for the media group, with Reuters suggesting that a deal would halve the company's debts. Reduced debts would enable INM to refinance its loans on far better terms.
Crucially, INM chief executive Vincent Crowley and his team have been able to change the terms of the company's loan covenants, which will "provide sufficient headroom going forward".
Speaking at Friday's interim results, Mr Crowley said that any sale might take "a number of months".
Sunday Indo Business