| Wed 29 Feb 2012, 8:00 | | REI - Reinet Investments S.C.A. Depositary Receipts - Reinet Fund S.C.A. |
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REI
REI - Reinet Investments S.C.A. Depositary Receipts - Reinet Fund S.C.A.,
F.I.S. raises Pound 300 million financing
Reinet Investments S.C.A. Depositary Receipts
issued by Reinet Securities SA
(Incorporated in Switzerland)
ISIN: CH0045793657
Depositary Receipt Code: REI
COMPANY ANNOUNCEMENT FOR IMMEDIATE RELEASE
REINET FUND S.C.A., F.I.S. RAISES Pound 300 MILLION FINANCING
On 24 January 2012, Reinet Investments S.C.A. proposed a revision to the terms
of its prospectus in respect of its diversification policy. The revision is
to be approved by an extraordinary meeting of shareholders on 5 March 2012.
Further to that announcement Reinet Investments S.C.A. is now pleased to
inform shareholders that Reinet Fund S.C.A., F.I.S. has, through a wholly-
owned subsidiary, entered into a Pound 300 million medium-term financing
facility with Deutsche Bank AG, London Branch.
The transaction incorporates put and call options (the "Options") over
approximately 13.7 million British American Tobacco shares (the "BAT Shares").
The Options both guarantee a minimum value on the BAT Shares and allow Reinet
to retain any increase in value up to a level significantly above the current
share price. Reinet estimates the annual cost of the facility to be broadly
in line with its expected dividend income on the relevant number of BAT
Shares.
Mr Johann Rupert, Chairman of Reinet Investments Manager S.A., said:
"We believe that British American Tobacco represents an excellent investment
in these turbulent times.
The transaction has been structured in such a way that Reinet may fund its on-
going investment programme at competitive borrowing rates without having to
divest any of its BAT shareholding at this time. We will retain a sizeable
portion of the upside over the shares which are subject to the Options."
Reinet Fund holds 84.3 million shares in British American Tobacco plc with a
market value of Pound 2 663 million (based on a closing price of Pound 31.59
per share on the London Stock Exchange on 27 February 2012.).
Reinet Investments Manager S.A.
for and on behalf of Reinet Investments S.C.A.
Reinet Investments S.C.A. is a partnership limited by shares incorporated in
the Grand Duchy of Luxembourg and having its registered office at 35 boulevard
Prince Henri, L-1724 Luxembourg. It is governed by the Luxembourg law on
securitisation and in this capacity allows its shareholders to participate
indirectly in the portfolio of assets held by its wholly-owned subsidiary
Reinet Fund S.C.A. F.I.S., a specialised investment fund also incorporated in
Luxembourg. Reinet Investments shares are listed on the Luxembourg Stock
Exchange, Reinet Investments' primary listing, and Reinet Investments South
African Depository Receipts issued by Reinet Securities S.A., are listed in
Johannesburg, Reinet Investments' secondary listing. Reinet Investments
shares are included in the `LuxX' index of the principal shares traded on the
Luxembourg exchange and the Reinet Investments South African Depositary
Receipts issued by Reinet Securities S.A., are included in the JSE `Top 40'
Share Index.
29 February 2012
Sponsor
RAND MERCHANT BANK (a division of FirstRand Bank Limited)
Date: 29/02/2012 08:00:15 Produced by the JSE SENS Department.
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