| Thu 8 Feb 2001, 0:00 | | Repurchase Of Ordinary Shares In Reunert Limited |
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Reunert Limited
Incorporated in the Republic of South Africa
(Reg No 1913/004355/06)
("Reunert" or "the company")
Repurchase of ordinary shares in Reunert Limited
Introduction
Reunert, acting on the general authority granted by Reunert shareholders at the
annual general meeting held on Tuesday 25 January 2000 ("the first general
authority") has, through Bargenel Investments Limited ("Bargenel"), a
wholly-owned subsidiary, repurchased 849100 (0,4%) of its own shares on the
open market. In addition, Reunert, acting on the general authority granted by
Reunert shareholders at the annual general meeting held on Thursday 1 February
2001 ("the second general authority") has, through Bargenel, repurchased
another 5 478 300 (2,7%) of its own shares on the open market. These share
purchases are in addition to the purchases announced on 18 December 2000
("theprevious share repurchase").
Repurchases of shares
Total number of shares purchased since
18 December 2000 in terms of the
first general authority 849 100 0,4% of the 204 000 264 ordinary
share capital in issue on
25 January 2000
Total number of shares
purchased in terms of the
second general authority 5 478 300 2,7% of the 204 020 264
ordinary share capital in
issue on 1 February 2001
6 327 400
Total value of shares purchased R92 005 616
Highest price paid per share 1 475 cents
Lowest price paid per share 1 215 cents
Average price paid per share
including costs 1 454 cents
The number of shares which
may still be repurchased by the
company 29 818 752 14,6% of the 204 020 264
ordinary share capital in
issue on 1 February 2001
The shares were repurchased using existing cash resources of Bargenel.
Directors' statement
The directors have considered the effect of the repurchases and are of the
opinion that:
1. the ability of the company and its subsidiaries to continue to pay their
debts in the ordinary course of business will not be affected by the
repurchases for the period of twelve months after the date of this announcement
2. the assets of the company and its subsidiaries exceed their liabilities,
measured in accordance with the accounting policies used in the audited annual
financial statements for the year ended 30 September 2000;
3. the ordinary capital and reserves of the company will be adequate for the
company's requirements for the period of twelve months from the date of this
announcement; and
4. the working capital of the company will be adequate for the company's
requirements for the twelve months from the date of this announcement.
Financial effects of the repurchases
The financial effect of the repurchases are indicated below.
Audited
- before the After the Percentage
Cents per share repurchases1 Adjusted2 repurchases3 change4
Basic earnings 180,2 183,0 185,6 1,4
Diluted basic earnings 178,5 181,2 183,8 1,4
Headline earnings 140,6 142,2 143,4 0,8
Diluted headline earnings 139,3 140,8 142,0 0,9
Net asset value 405,3 377,7 338,6 (10,4)
Notes
(1) The "audited - before the repurchases" column reflects the earnings for
the year ended 30 September 2000 and the net asset value per share at 30
September 2000, adjusted to remove the effect of the repurchases of shares made
up to 30 September 2000.
(2) The "adjusted" column reflects the earnings for the year ended 30
September 2000 and the net asset value per share at 30 September 2000, adjusted
for the previous share repurchase, as reported in the previous announcement
dated 18 December 2000.
(3) The "after the repurchases" has been calculated assuming that the
repurchases had been carried out on 1 October 1999 and were financed by cash
resources on which interest at an after tax rate of 7,35% per annum would have
been received.
(4) The percentage change is calculated by taking the difference between the
"after the repurchases" column, as a percentage of the "adjusted" column.
Stock Exchange listing
As all of the shares have been purchased by a subsidiary of Reunert, and not by
Reunert itself, no application will be made for termination of the listing of
the relevant ordinary shares inReunert.
Sandton
8 February 2001
Sponsor
Rand Merchant Bank
Corporate Finance
A division of FirstRand Bank LimitedGRAPHICOR22838
