| Tue 21 Aug 2007, 17:15 | | PMV - Primeserv Group Limited - Revised financial |
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PMV
PMV
PMV - Primeserv Group Limited - Revised financial effects in respect of the
acquisition of the business of staff Dynamix from Stafflex (Pty) Limited
Primeserv Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1997/013448/06)
("Primeserv" or "Primeserv Group")
Share code: PMV ISIN: ZAE000039277
REVISED FINANCIAL EFFECTS IN RESPECT OF THE ACQUISITION OF THE BUSINESS OF
STAFF DYNAMIX FROM STAFFLEX (PTY) LIMITED
1. Introduction
Primeserv shareholders are referred to the previous announcement,
regarding the acquisition of the business of Staff Dynamix ("the
acquisition"), dated 5 March 2007, which appeared on SENS on 6 March 2007
and in the press on 7 March 2007, respectively.
The financial effects of the proposed acquisition in the circular, which
has today, 21 August 2007, been posted to shareholders differ from the
financial effects contained in the subsequent announcement dated 3 May
2007.
Based on updated information, the financial effects have subsequently
been revised.
2. Revised unaudited pro forma financial effects of the acquisition
Set out in the table below are the pro forma financial effects of
the acquisition based on Primeserv`s published pro forma results for the
12 months ended 31 December 2006. The pro forma financial effects have
been prepared for illustrative purposes only to provide information on
how the acquisition may have impacted on the results and financial
position of Primeserv. Because of their nature, the pro-forma financial
effects may not give a true picture of Primeserv`s financial position
after the acquisition.
The directors of Primeserv are responsible for the preparation of the
unaudited pro forma financial effects. The financial effects have been
reviewed by the reporting accountants.
Before After % Change
Basic earnings per share 4.24 4.71 11.1
(cents)
Headline earnings per 4.13 4.60 11.4
share (cents)
Net asset value per 38 38 0
share (cents)
Net tangible asset value 38 28 -26.3
share (cents)
The above table sets out the financial effects of the acquisition based
on the pro forma, unaudited results of Primeserv for the 12 months ended
31 December 2006 and the audited results of the acquired business for the
twelve months ended 28 February 2007 combined as if the acquisition had
taken place on 1 January 2006.
The figures in the "Before" column have been extracted from the pro
forma, unaudited results of Primeserv for the 12 months ended 31 December
2006.
The figures in the "After" column have been calculated using Primeserv`s
figures as indicated above, adjusted by:
* the earnings of the business for the twelve months ended
28 February 2007;
* the earnings of the business are calculated exclusive
of expenditure related to excluded assets, expenditure related
to individuals whose employment is not transferred and
expenditure related to unrelated businesses carried on by
Stafflex (Pty) Limited;
* the assets and liabilities taken over, as provided in the
acquisition agreement;
* transaction costs and interest forgone associated with the
acquisition; and
* the interest adjustment as required by IFRS 3 in respect of
the deferred payment of the purchase consideration.
Bryanston
21 August 2007
Sponsor
Deloitte & Touche Sponsor Services (Pty) Limited
Reporting accountants
PKF (JHB) Inc.
Date: 21/08/2007 17:15:03 Produced by the JSE SENS Department.
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