WBHOContexx buyout to combine expertise

Wilson Bayly Holmes-Ovcon (WBHO) had acquired the remaining 49.9 percent in Australian-based high-rise construction specialist Contexx it did not already own for an undisclosed amount, the JSE-listed construction and engineering group said yesterday. The group said it expected the transaction to be effective from July 1. WBHO said the acquisition was a small related party acquisition and was not expected to have a material effect on earnings, headline earnings or net asset value a share. Explaining the rationale for the transaction, WBHO said Probuild specialised in industrial and commercial construction while Contexx had specialty in high-rise residential construction. The benefits included facilitating opportunities for Probuild and Contexx to collaborate on projects that required diverse expertise and improved cash flow generation to fund construction activities. The shareholding has been acquired from two founding directors of Contexx. WBHO closed 2.2 percent higher at R147.45. – Roy Cokayne