| Mon 7 Feb 2011, 15:24 | | MOB - Mobile Industries Limited - Apportionment ratio for tax purposes |
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MOB
MOB
MOB - Mobile Industries Limited - Apportionment ratio for tax purposes
MOBILE INDUSTRIES LIMITED
(Incorporated in the Republic of South Africa)
(Registration Number 1968/014997/06)
Share code: MOB
ISIN: ZAE000091435
("Mobile")
APPORTIONMENT RATIO FOR TAX PURPOSES
Mobile shareholders ("Shareholders") are referred to the circular dated 22
November 2010 ("Circular") and the subsequent announcements released on the
Securities Exchange News Service ("SENS") relating to the unbundling and
distribution in specie by Mobile of its 46,25% shareholding in Trencor Limited
("Trencor") to Shareholders, who were recorded in the register on Friday, 4
February 2011 (the "unbundling record date"), in terms of sections 90 and 228
of the Companies Act and section 46 of the Income Tax Act (the "Unbundling").
The purpose of this announcement is to notify Shareholders of the cost
apportionment ratio in which the expenditure incurred and/or the valuation of
Mobile shares must be allocated to the Trencor shares received in terms of
the Unbundling and the Mobile shares for South African taxation purposes
(the "Apportionment Ratio").
The Apportionment Ratio for purposes of section 46 of the Income Tax Act is
0,34% relating to a Mobile share and 99,66% to a Trencor share, based on the
closing share prices of Mobile and Trencor on the unbundling record date of
R0,01 and R35,99, respectively.
The Apportionment Ratio is to be used, after the Unbundling, to apportion the
expenditure incurred in respect of a Mobile share held. The expenditure must
be apportioned between the Mobile share held after the Unbundling and the
Trencor share received in terms of the Unbundling for the purposes of
determining the profits or losses, of a capital or trading nature, derived from
any future disposal of a Mobile share or Trencor share. The potential South
African taxation considerations for Shareholders are set out in paragraph 3.3
of the Circular. Shareholders are, however, advised in all circumstances to
seek their own advice regarding taxation.
By order of the board of directors
Mobile Industries Limited
Cape Town
7 February 2011
Investment bank and Corporate law adviser Sponsor
transaction sponsor
Investec Bank Limited Edward Nathan Rand Merchant Bank (A
Sonnenbergs Inc. division of FirstRand Bank
Limited)
Date: 07/02/2011 15:24:01 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
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