| Wed 23 May 2007, 17:15 | | ELH - Ellerine Holdings Limited - Proposed Sale of |
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ELH
ELH
ELH - Ellerine Holdings Limited - Proposed Sale of Stake in Ellerines
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN OR INTO THE
UNITED STATES, AUSTRALIA, CANADA OR JAPAN
Ellerine Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration Number 1968/013402/06)
JSE code: ELH
ISIN: ZAE000022752
("Ellerines" or "the Company")
Proposed Sale of Stake in Ellerines
Ellerines announces that Poco International Holdings S.A. ("Poco"), through its
wholly-owned subsidiary Eurotin S.A., intends to dispose of up to its entire
holding in Ellerines, comprising approximately 25.2 million shares, equivalent
to approximately 20.2% of the outstanding issued share capital in Ellerines (the
"Offering").
The Offering will be in the form of a global private placement to South African
and international institutional investors outside the U.S. and to Qualified
Institutional Buyers in the U.S. The Offering will be implemented by way of an
accelerated bookbuilding exercise commencing today and expected to close on or
before the close of business on 25th May 2007.
Commenting on the Offering, Peter Pohlmann, current non-executive Chairman of
Ellerines and Chairman of Poco, said, "We initially acquired our stake in
Ellerines as a consequence of the merger with Relyant Retail Limited in 2005. In
order to demonstrate our support for the transaction and to participate in the
strategic management of the merged group, as well as share in the benefits
therefrom, we agreed to remain invested in the merged group for the medium-term.
As the merger has now been implemented successfully, we have decided to monetise
our investment and to deploy the proceeds elsewhere in our business. We are
proud to have been associated with an excellent company with an outstanding
management team. We thank the board, management and employees of Ellerines for
their efforts and performance and wish Ellerines and all its stakeholders every
success for the future."
Ellerines` CEO, Peter Squires, commented, "While we respect Poco`s decision, we
will miss the strategic shareholder relationship. The Offering will, however,
significantly improve the free float and potentially the liquidity of Ellerines
shares as well as further broaden the shareholder profile of the Company both
domestically and internationally."
Ellerines will not receive any proceeds from the Offering.
Citigroup Global Markets Limited ("Citi") is acting as Sole Bookrunner for the
Offering.
Johannesburg
23 May 2007
For further Information:
Ellerines:
Reg Rawlings: Chief Financial Officer - Tel: +27-11-607-1000
Citi:
Darrell Uden: Managing Director - Tel: +44-207-986-0410
Tom Attenborough: Director - Tel: +44-207-986-0440
Transactional Sponsor
Citi
This announcement has been issued by, and is the sole responsibility of Ellerine
Holdings Limited.
The distribution of this announcement and the offer and sale of Ellerine
Holdings Limited shares in certain jurisdictions may be restricted by law. Any
persons reading this announcement should inform themselves of, and observe, any
such restrictions. This announcement is not for publication or distribution,
directly or indirectly, in or into the United States of America (including its
territories and possessions, any state of the United States and the District of
Columbia). This announcement does not in any manner constitute an invitation to
invest or an advertisement, notification, statement or announcement soliciting
investment in the shares of Ellerine Holdings Limited or an offer of securities
for sale in the United States or in any jurisdiction in which such an offer or
solicitation is unlawful. The securities referred to in this announcement have
not been and will not be registered under the U.S. Securities Act of 1933, as
amended, and may not be offered or sold in the United States, except pursuant to
registration or an applicable exemption from registration. No public offering of
securities is being made into the United States.
Within the United Kingdom, this announcement is directed only at persons who
have professional experience in matters relating to investments who fall within
article 19(5) of the United Kingdom Financial Services and Markets Act 2000
(Financial Promotion) Order 2001 (as amended) (the "Order") or are persons
falling within article 49(2)(a) to (d) ("high net worth individuals,
unincorporated associations etc.") of the Order (all such persons together being
referred to as "relevant persons"). This communication must not be acted on or
relied on by persons who are not relevant persons. Any investment or investment
activity to which this communication relates is available only to relevant
persons and will be engaged in only with relevant persons. As regards all
persons other than relevant persons, the details of the Offering and
bookbuilding set out in this announcement are for information purposes only.
No prospectus offering securities to the public will be published. Citigroup
Global Markets Limited is acting for Poco International Holdings S.A. and no one
else in connection with the Offering and will not be responsible to any other
person for providing the protections afforded to their respective clients, or
for providing advice in relation to the Offering.
Date: 23/05/2007 17:15:04 Produced by the JSE SENS Department.
