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By JSE Published: April 21, 2021 2:59 PM
Karooooo, a software company, today joins the JSE’s Main Board. Karooooo is the controlling shareholder of Cartrack, the previously JSE-listed fleet management and vehicle recovery specialists.
According to Karooooo SENS announcement, the company resolved to have its primary listing on the Nasdaq Stock Exchange and a corresponding inward listing on the JSE. The company believes that the restructuring will, amongst other things, create a more efficient global corporate and operating structure which is reflective of Cartrack’s international operations and global growth strategy.
As part of the restructuring, Cartrack has delisted from the JSE and Cartrack’s eligible shareholders have swapped their old shares for Karooooo’s shares through a reinvestment scheme.
Karooooo’s listing brings the number of companies listed on the JSE to 331, with a market capitalisation of more than R19 trillion. Karooooo becomes the third company on the JSE’s software sub-sector.
Zak Calisto, CEO of Karooooo, says it is encouraging that 99% of Cartrack’s investors elected to remain invested in the company highlighting investor confidence in our leadership, business model and investment case.
“Fundamentally, the listing allows us to access capital markets where we were restricted before and enables us to broaden our shareholder base. We are excited about this next chapter of our journey. We are now better positioned for growth,“ Calisto adds.
Commenting on the listing, Valdene Reddy, JSE’s Director of Capital Markets, says: “We are pleased that the company has decided to remain listed locally, giving investors an opportunity to benefit from Karooooo’s global expansion. We congratulate Karooooo for their successful restructuring and wish the company well in its next chapter of growth”.
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