Johannesburg - Allied
Electronics Corporation (Altron) is cautioning shareholders that it is in
talks.
In a statement
issued on Tuesday, the listed company said it was in negotiations, which, if successfully
concluded, may have a material effect on the company’s share price.
Altron did not indicate
whether it was buying, or was involved in a buyout.
Altron completed
the biggest deal in its history when it bought out minorities in Altech in 2013
for R1.8 billion.
In a statement
released in October, it said overall revenue dropped 14 percent to R11.4
billion in the six months to August, while earnings before tax, interest,
depreciation and amortisation gained 58 percent to R380 million
Earnings per
share moved from a 151c loss per share to a gain of 6c a share.
Headline
earnings per share - a key indicator of profitability - improved to 31c a share
from a 64c a share loss a year ago.
Altron’s interim
results were been split between continuing and discontinued operations.
Read also: Altron: Good progress, but more to do
The Powertech
group, Altech Autopage (which has been shut down after it sold its client
base), and Altech Multimedia were all classified as discontinued or non-core
operations, while the core operations comprise the information technology and
telecommunications businesses of the group.
BUSINESS REPORT