| Wed 21 Sep 2011, 16:03 | | BILETS - Letshego Holdings Limited - Trading Notice: Acquisition of majority |
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JSE
BILETS
BILETS - Letshego Holdings Limited - Trading Notice: Acquisition of majority
shareholding in Micro Africa Limited
Letshego Holdings Limited
Incorporated in the Republic of Botswana
Registration number 98/442
("Letshego Holdings" or "the Company")
This announcement is being released on the Johannesburg Stock Exchange for
information purposes only in respect of Letshego Holdings Limited`s Note
Programme
TRADING NOTICE: Acquisition of majority shareholding in Micro Africa Limited
Letshego Holdings is a leading provider of unsecured consumer loans to
formally employed individuals, is listed on the Botswana Stock Exchange, is
IFSC accredited and has operations in Botswana, Mozambique, Namibia,
Swaziland, Tanzania, Uganda and Zambia.
In line with the Pan-African expansion plans of the Letshego Group,
shareholders are advised that the Group is in the process of acquiring a
62.52% interest in the issued share capital of Micro Africa Limited ("MAL"), a
private company incorporated in Kenya.
MAL is an established company that has been operating in Kenya since 2000 with
subsidiaries in Rwanda, South Sudan and Uganda and an associated company in
Tanzania. MAL operations are the provision of secured and unsecured personal,
SMME and Group loans. MAL`s management team has successfully introduced
products involving the perfecting of security, over the counter cash handling
for loan transactions and mobile banking technology. The effective date of
the acquisition is expected to be 31 October 2011 but this is subject to all
necessary formalities being concluded. MAL has a loan book of USD7.2 million,
21 branches and a customer base of over 17,000. The net assets` of the
company were USD4.1 million at 30 June 2011. MAL`s profit after tax was
USD331,000 for the year ended 31 December 2010.
The purchase price is USD3.3 million and this is being met from the Group`s
existing resources.
MAL is not expected to contribute significantly to the Group`s financial
results for the year ending 31 January 2012 but is a welcome addition to the
Letshego Group and is expected to contribute to the Group profitability,
geographical diversification of earnings, product offering and technology
skills set over time.
Gaborone
21 September 2011
Debt sponsor in South Africa
Renaissance BJM Securities (Pty) Ltd
Sponsoring broker in Botswana
Stockbrokers Botswana Limited
Date: 21/09/2011 16:03:01 Produced by the JSE SENS Department.
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