Dorbyl Ltd., a South African mechanical-engineering company, received a higher offer from the country’s state-owned Industrial Development Corp. to buy all its issued shares.
The IDC, as the Johannesburg-based investor is known, raised its offer to 85 cents from 73 cents, the companies said in a statement. The threshold for the number of shares sold to the IDC in order to trigger the transaction was lowered from 75 percent to 51 percent, according to the companies.
The IDC received “irrevocable undertakings” from owners of 51 percent of Dorbyl’s shares to accept the new offer, the companies said.
Trading in Dorbyl shares was suspended on the Johannesburg Stock Exchange on Nov. 1 for not filing its financial statements within three months after the fiscal year ended. The company’s auditors said Nov. 19 that the company didn’t have sufficient cash-flow to continue operating beyond the end of January 2013.