Australian business technology solutions leader Data#3 Limited (ASX: DTL) is pleased to announce that it has exercised its option to acquire a further 14.2% shareholding in Wi-Fi analytics company Discovery Technology Pty Ltd (“Discovery Technology”) for $0.5 million, on the same terms as it acquired its initial shareholding of 42.5%. Data#3 retains a further option to acquire the balance of the shares in the company at market price by 30 June 2017.
Having now taken a majority position in the company, Data#3 Chief Executive Officer Mr Laurence Baynham said “We are pleased with how Discovery Technology has progressed over the last year and firmly believe that exercising the option is in the best interests of Data#3’s shareholders.”
“The Wi-Fi sector remains very active with opportunities that have been in the pipeline for some time now coming to fruition” he said.
Data#3 Chairman, Mr Richard Anderson said “Having made the decision to exercise the option, we intend to fund the additional investment from cash flow without impacting shareholder dividends.
“In view of the further investment Data#3 will be increasing its involvement in the management of Discovery Technology. John Grant will continue as Chairman of Discovery Technology to guide what we see clearly as a very exciting and substantial opportunity over time for Data#3,” he said.