TRG Pakistan Limited announced that its partner, The Resource Group International Limited (TRGI), has finalized a definitive agreement with IBEX Limited, its Nasdaq-listed portfolio company.
As part of the agreement, IBEX repurchased approximately 3.56 million of its shares from TRGI for a total transaction value of $70 million.
TRG Pakistan Limited informed the Pakistan Stock Exchange (PSX) through a notification on Wednesday in accordance with Section 96 of the Securities Act, 2015 and Clause 5.6.1(a) of the PSX Rule Book.
Financial advisory for the deal was handled by Houlihan Lokey.
The total transaction value is $70 million, including $45 million in cash and $25 million in seller financing.
The purchase price was $19.65 per share, representing the last closing price prior to the announcement of the transaction, as well as the five-day weighted average trading price of IBEX common stock on the Nasdaq Global Market as of the signing of this transaction.
Following this repurchase, TRGI will retain ownership of 1.8 million common shares in IBEX, with TRGI’s shareholders agreement with IBEX dated November 2017 remaining in effect.
In addition, IBEX will have the right to buy back the remaining shares owned by TRGI within four years, if certain conditions are met.