| Mon 23 Feb 2009, 17:11 | | MZR - Mazor - General repurchase of ordinary shares |
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MZR
MZR
MZR - Mazor - General repurchase of ordinary shares
Mazor Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 2007/017221/06)
Share code: MZR ISIN: ZAE000109823
("Mazor" or "the company")
General repurchase of ordinary shares
1 Introduction
In terms of a special resolution passed by Mazor shareholders on 22 July
2008, a general authority was granted to Mazor to repurchase its ordinary
shares ("the general authority"). In terms of this general authority
Mazor could repurchase a maximum of 24 500 000 ordinary shares (being 20%
of the company`s issued share capital at the date that the general
authority was granted).
2 Implementation
As at the close of business on 20 February 2009, Mazor has acquired, in
the open market, a total of 11 673 256 ordinary shares, equivalent to
9.5% of the issued share capital at the time of the granting of the
general authority, for a total consideration of R16 712 892 ("the
repurchases"). The repurchases were carried out over the period 11
November 2008 to 20 February 2009, with 9 999 108 shares having been
purchased on 20 February 2009. The highest price paid was 210 cents per
share and the lowest price paid was 115 cents per share. The repurchases
were funded from the company`s available cash resources. All the ordinary
shares have been repurchased by a subsidiary of Mazor. These ordinary
shares will be held in the subsidiary company as treasury stock. The
extent of the authority now available is in respect of 12 826 744
ordinary shares, equivalent to 10.5% of the company`s total issued share
capital at the date the general authority was granted.
The repurchases have been carried out in accordance with paragraph 5.72
of the Listings Requirements of the JSE Limited ("Listings
Requirements").
3 Opinion of the directors
The directors of Mazor have considered the impact of the repurchases and
are of the opinion that:
- Mazor and the group will be able, in the ordinary course of
business, to pay its debts for a period of 12 months after the date
of this announcement;
- the assets of Mazor and the group will be in excess of the
liabilities of Mazor for a period of 12 months after the date of
this announcement. For this purpose, the assets and liabilities have
been recognised and measured in accordance with the accounting
policies used in the latest audited annual financial statements;
- the share capital and reserves of Mazor and the group will be
adequate for ordinary business purposes for a period of 12 months
after the date of this announcement; and
- the working capital of Mazor and the group will be adequate for
ordinary business purposes for a period of 12 months after the date
of this announcement.
4 Financial effects
Set out in the table below are the pro forma financial effects of the
repurchases based on Mazor`s unaudited interim results for the six months
ended 31 August 2008. The pro forma financial effects have been prepared
for illustrative purposes only to provide information of how the
repurchases may have impacted on the results and financial position of
Mazor. The unaudited pro forma financial effects are the responsibility
of Mazor`s directors. Due to their nature, the pro forma financial
effects may not give a fair reflection of Mazor`s financial position
after the repurchases.
Before After Percenta
the the ge
repurchas repurcha change
es 1 ses (%)
Earnings per share (cents) 2 20.72 22.28 7.51
Headline earnings per share 20.75 22.31 7.52
(cents) 2
Weighted average number of 122,575,4 110,902,
shares in issue 83 227
Net asset value per share 140.47 140.18 (0.20)
(cents) 3
Net tangible asset value per 121.92 119.69 (1.83)
share (cents) 3
Shares in issue 122,847,2 111,173,
22 966
Notes:
1 Extracted from the unaudited interim results of Mazor for the six
months ended 31 August 2008.
2 Earnings and headline earnings per share are based on the following
assumptions:
- the repurchases were effected on 1 March 2008; and
- the repurchases were financed through available cash resources
on which interest accrued at an after tax rate of 8.28% per
annum
3 Net asset value and net tangible asset value per share are based on
the assumption that the repurchases were carried out on 31 August
2008.
Johannesburg
23 February 2009
Sponsor: Bridge Capital Advisors (Pty) Limited
Date: 23/02/2009 17:11:01 Produced by the JSE SENS Department.
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