Telit Communications extends deadline for automotive division purchaser

Telit Communications on Friday granted an extension to the Chinese buyer of its automotive division in order to complete to $105m deal.

As the two parties continue work to finalise the debt arrangements to support the transaction, Telit has agreed to extend the deadline to 20 February in order to allow the parties to proceed to completion.

Purchaser TUS International Limited has successfully received shareholder approval for both the transaction and the fundraising related to the financing of the transaction, as well as having confirmed that it is satisfied that the reorganisation has been completed and it expects to continue to proceed to completion in accordance with the agreed terms of the transaction.

Sean Shen, president of TUS international, said: "We are pleased to have obtained shareholder approval and remain committed to the completion of this transaction. We expect to finalise the outstanding items and reach completion of the transaction shortly."

Telit Communications' shares were down 3.84% at 135.40p at 1013 GMT.