itX discusses potential sale
- 06 August, 2010 13:08
ASX-listed distributor, itX,(ASX:ITX) has confirmed it is in discussions with a potential party to buy 100 per cent of the ordinary shares in the company.
A previous report speculated that there could be a takeover offer on the way and there would be news in the next week or two.
In a statement to the ASX, the Board confirmed the indication of interest was indicative and non-binding, but it had not yet formed a view on the interest.
“At present there is no certainty that the discussions will lead to an offer or proposal being put to shareholder,” itX said in a statement. “We will provide an update to the market as and when required in accordance with its continuous disclosure obligations.”
itX managing director, Laurie Sellers, reaffirmed at this stage there was no certainty that it would develop into anything.
“These things happen from time-to-time, typically they don’t reach the public domain, but in this case there had been speculation in the press,” Sellers said. “There’s no certainty of a proposal. Often these things can take a protracting time before they reach a conclusion.”
The distributor recently disclosed its unaudited financial year results and dispite recording a profit, it indicated Oracle's acquisition of Sun Microsystems had disrupted its supply chain and significantly impacted revenues.
At the time of publication, itX was trading at $1.24.