The group says Apex’s services will help facilitate and support its own investment activities.
Sabvest has bought a 49% stake in Apex Partners, the investment and advisory firm set up two years ago by Charles Pettit, the founder and former CEO of industrial groups Torre Industries and Stellar Capital Partners.
Apex provides mostly debt advisory, restructuring advisory and capital raising services, supported by merger and acquisition and strategic, regulatory and legal advisory offerings. Its lending arm focuses on bridge and mezzanine finance and has two joint ventures with separate institutional partners. The group’s website says it advises boards and management teams on their strategic initiatives, using its experience in founding and managing businesses.
Sabvest didn’t disclose how much it paid for the stake but said the transaction didn’t require a category 2 announcement to be made. A category 2 announcement is required if the amount paid for an acquisition is greater than 5% of the company’s market capitalisation. Sabvest’s issued share capital is worth just under R800 million.
The services provided by Apex facilitate and support the investment activities of Sabvest and the special situation investing and lending by Apex are distinct from those of Sabvest and will augment Sabvest’s existing investment universe,” Sabvest said.
The transaction follows the acquisition in April of a 30% stake in cryptocurrency startup Revix, a platform aimed at making it easier for ordinary investors to invest in cryptocurrency funds. While Sabvest didn’t disclose the size of that investment either, Revix recently said it had secured an R11 million investment from a JSE-listed company.
Its shares closed unchanged in thin trade yesterday.