Under an agreement with investor Lőrinc Mészáros, fellow investor Gellért Jászai has acquired a 32.02% stake in listed IT company 4iG in the past few days and will raise his holding to 40.2% in further OTC deals, 4iG said on Monday, according to a report by Hungarian news agency MTI.
In line with regulations, Jászai will announce within 15 days a public purchase offer for all outstanding shares as required to surpass the 33% influence threshold in a listed company.
The transactions will make Jászai the biggest shareholder of 4iG, while Mészáros will indirectly hold 11.63% of 4iG shares through Konzum PE Private Equity Fund and 9.95% through Opus Global.
At present Mészaros group member Konzum PE Private Equity Fund holds 26.74%, its asset manager unit KZF Vagyonkezelő holds 22.57%, and Opus Global 13.79% of 4iG shares.
Jászai first purchased the asset manager KZF Vagyonkezelő, holding 22.57% of 4iG, from Konzum PE Private Equity Fund. In the next step, KZF bought a 4.26% stake from Konzum PE Private Equity Fund and a further 5.19% stake through other OTC deals.
Jászai will buy a further 8.2% stake from Konzum PE Private Equity under the agreement, which he can do after the closure of the public purchase, thereby its holding in 4iG will rise to at least 40.2%.
Konzum and Opus announced in early April that Jászai will resign from his executive positions in the two companies to focus on heading group member 4iG.
The Konzum-Opus group acquired 4iG in 2018.
In the first quarter, 4iG had HUF 280.5 million after-tax profit, compared to a HUF 106.2 mln loss in the corresponding period a year earlier. Net revenue was up by 65% at HUF 4.85 billion in Q1. The company is reported to have received state orders worth HUF 13.5 bln so far this year.