Events & Conferencing News South Africa

Caxton deal values Moneyweb at R100 million

Caxton Publishers & Printers Ltd has upped its stake in Moneyweb Holdings, the financial content company that produces, Miningweb, Marketingweb and a host of smaller properties, as well as Alec Hogg's syndicated radio show (broadcast on SAFM, RSG and Lotus FM). Moneyweb also produces the business news section of Caxton-owned The Citizen.

Caxton acquired a 35% shareholding in Moneyweb late last year and, after the latest share acquisition (valued at R10 660 397), holds 73 827 766 ordinary shares in the company, which is 68.50% of its issued share capital.

The deal values the company at R100 million, according to founder Alec Hogg. Caxton injected R20 million into the company in cash for shares last year. Moneyweb's board will be joined by TD Moolman and PG Greyling - both from Caxton.

Pre-emptive right

According to Hogg, he exercised his pre-emptive right to buy out the shares of his ex-wife, Louise Hogg, and bought three million of her shares to increase his stake in the business while selling the balance to Caxton.

"In a field like ours which is moving so rapidly and where there are so many exciting opportunities, [it] makes sense to have a partner with substance," comments Hogg. "We have around R25 million cash in the bank so watch this space."

The initial deal with Caxton centred on the rollout of a national platform of hyperlocal community websites under the single Looklocal brand. Caxton owns a profitable stable of community titles across the country and expectations are that 52 online communities will be rolled out over the course of three years.

Bulk of the business

While the Looklocal project is very exciting and fits well with Moneyweb's long-term strategy, Hogg says the bulk of the business is still very much Moneyweb, Mineweb and the radio programmes.

Moneyweb Holding is listed on the Alternative Exchange ("Alt X"). In the 12 months to March 2010, the company generated R27 million in revenues and a nett profit of R1.6 million. Hogg dismissed speculation in Business Day that the company is set to delist.

About Herman Manson: @marklives

The inaugural Vodacom Social Media Journalist of the Year in 2011, Herman Manson (@marklives) is a business journalist and media commentator who edits industry news site His writing has appeared in newspapers and magazines locally and abroad, including He also co-founded Brand magazine.

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