Novus Holdings faces TRP investigation over Mustek acquisition

Novus Holdings’ acquisition of Mustek has hit another hurdle after the companies said on Friday that the Takeover Regulation Panel (TRP) is conducting an investigation into the mandatory offer to Mustek shareholders.

This follows a High Court ruling in April that overturned an earlier TRP ruling declaring that the transaction was flawed.

Printing group Novus stated on Friday that it had previously indicated it anticipated receiving a certificate of compliance on the transaction from the TRP on August 1, 2025. However, the TRP said it had received “certain complaints” and it had initiated an investigation into Novus' and Mustek's conduct concerning the mandatory offer.

In April, a High Court ruling declared as unconstitutional an earlier TRP ruling that the deal should not proceed, as the TRP found that Novus was “acting in concert” with the DRK Trust in structuring the transaction, which potentially put ICT distributor Mustek shareholders at a disadvantage.

Novus Holdings had announced its intention to acquire Mustek on November 15, 2025, triggering a mandatory offer after its shareholding in Mustek exceeded the 35% threshold. Mustek shareholders were given three options: R13 cash per Mustek share, R7 cash and one Novus share for each Mustek share, or 2 Novus shares for each Mustek share.

“Novus and Mustek are engaging with the TRP to resolve the TRP investigation as soon as possible and will provide Mustek shareholders with updates when appropriate,” said Novus directors.

In the meantime, Novus is unable to proceed with the mandatory offer. Mustek shareholders who had accepted, or intended to accept, the mandatory offer should note that the settlement of the offer consideration would only occur after the TRP issues the required compliance certificate.

Novus’ share price fell 2.44% to R6.40 on Friday, while Mustek’s share price gained 3.69% to R13.50.

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