Axia Corporation has taken full control of automotive spares retailer Transerv after buying out the company’s minority shareholders in a US$1,08 million share-based deal.
The transaction, which took effect on 1 June 2026, saw Axia acquire the outstanding 12,25 percent interest it did not previously own, bringing its effective holding in Transerv to 100 percent.
According to Axia’s financial results for the year ended 30 June 2026, the purchase consideration was settled entirely through the issue of Axia shares, meaning the group did not have to use cash to complete the acquisition.
Axia chairperson Luke Ngwerume said the transaction would streamline the group’s ownership structure while giving it greater exposure to Transerv’s future performance.
“The acquisition of the remaining non-controlling interest in Transerv represents an important step in simplifying the group structure and increasing exposure to the future growth and earnings potential of the business,” he said.
Ngwerume said the structure of the transaction had also allowed Axia to preserve its cash resources while delivering value to shareholders.
The acquisition completes a gradual process through which Axia has increased its interest in Transerv over the past decade.
The automotive spares business initially came into the group through Innscor Africa, which acquired a 26,01 percent interest in Transerv in 2015 as part of the restructuring of its specialty retail operations ahead of the subsequent demerger.
Following the establishment of Axia as an Innscor spin-off, the group increased its effective interest in Transerv to 50,51 percent in 2020.
A further acquisition in 2024 lifted the holding to 87,75 percent, leaving the group with a 12,25 percent minority interest to acquire.
Axia, whose other businesses include TV Sales & Home and Distribution Group Africa, has continued to regard Transerv as a strategic business because of its position in the automotive parts market.
The group has also sought to broaden Transerv’s revenue base, including through the introduction of solar panels to its product offering.
Ngwerume said the business had remained resilient despite increased competition from informal operators.
“Our refocus on our core products and continued market confidence in the quality of our products has helped the business to withstand competition from unregistered informal traders,” he said.