Howards give in as VenFin takes over at Intervid
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KwaZulu-Natal Correspondent
DURBAN The Howard family has given up the fight against VenFin in the war for the control of information technology company Intervid, selling 30-million shares yesterday to their arch rivals for R10,2m.
Should the agreement be approved by the regulatory authorities, VenFin's effective shareholding in the embattled group would go up to 50% from the current 17%. VenFin would then have to extend the offer to minorities at the same 34c a share afforded the Howard family.
More than a year ago the Howards said they wanted a minimum R10m or 34c a share for their holding.
The move resolves the longstanding dispute between VenFin and the Howards regarding the management and further funding of Intervid.
The infighting exploded several weeks ago when the Howards, as the largest single shareholder, called a special meeting proposing that independent chairman and nonexecutive director Bill Lambert be removed and that three new nonexecutive directors, Connie Howard, Richard Evans and George O'Reilly, be elected to the board.
These appointments came at the expense of Lambert, chief financial officer Wayne Jaggard, CEO Mark Taylor and nonexecutive director Johann Pieterse.
The Howards said they had lost confidence in Lambert's leadership and that VenFin's influence was disproportionate to its shareholding.
Last week Robin Howard, who became executive chairman during the bitter feud, proposed selling Intervid International to stop Nedbank from calling in the company's R27m overdraft.
He said the sale would recapitalise Intervid.
He admitted defeat on Friday, saying he was "unable to implement these changes".
Mar 02 2004 07:33:17:000AM Nicola Jenvey Business Day 1st Edition
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