Idion Technology Holdings Ltd. announced Friday that VenFin Ltd. and an institutional investor have acquired shares in Idion, parent company of Vision Solutions Inc., from DataMirror Corp. DataMirror, Idion says, sold out its entire shareholding, more than two years after first launching a hostile takeover bid for the company.
"We welcome this investment in Idion," says Nicolaas Vlok, MD of Idion. "With strategic partners who share our vision, we now have the capacity and flexibility to continue execution of the business plan put in place several years ago, and to become a dominant player in multi-platform managed availability."
Continues Vlok: "The employees and business partners of Idion have worked hard and remained committed in the face of a disruptive competing shareholder, to stay focused and build the value of the company." He further says that Idion successfully strengthened its five pillars of inherent value during the past two years: "Cash reserves, working capital and cash generation from operations have increased markedly. Our large global client base has continued to increase, on the back of a growing base of global channel partners, and management has consistently proven its commitment, not least by ensuring that Idion's technology and intellectual capital have been translated into products that are more competitive in the market place than ever before."
Following the investment in Idion, the company notes that VenFin's shareholding increases from 6 percent to approximately 34.9 percent. Management's stake, it says, remains unchanged at approximately 40 percent.
"VenFin looks to be a long-term investor in innovative, high-quality businesses that have potential as significant global players," says Dillie Malherbe, CEO of VenFin. "We have been an investor in Idion for nearly two years, and have been impressed with its strategic direction, management and market success. We believe that this investment is strategic to our portfolio, and see it as an opportunity to add value and resources for Idion to grow significantly over the next several years."
Vlok says that he is proud of the way in which Idion conducted itself: "I sincerely thank the customers and channel partners whose support never wavered, shareholders who steadfastly remained committed to Idion's strategy and management, the Idion board for constantly acting in the true interests of all shareholders, and our management and employees who continued to be superbly focused on delivering results. This is a good day," he concludes.