| Thu 26 Apr 2012, 13:54 | | GDN - Gooderson Leisure Corporation Limited - Acqu |
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GDN
GDN
GDN - Gooderson Leisure Corporation Limited - Acquisition of Monks Cowl Country
Club and Lodge and cautionary announcement
Gooderson Leisure Corporation Limited
(Incorporated in the Republic of South Africa)
(Registration number 1972/004241/06)
JSE Share Code: GDN ISIN: ZAE000084984
("Gooderson" or "the company")
ACQUISITION OF MONKS COWL COUNTRY CLUB AND LODGE AND CAUTIONARY ANNOUNCEMENT
1. INTRODUCTION
Gooderson Leisure Corporation Limited ("the purchaser") has acquired as a
going concern, the hotel business and assets, the buildings and land
("property") and other assets of Monks Cowl Country Club and Lodge ("Monks
Cowl") ("the acquisition") from Mr Stuart Longmore ("the seller"), subject
to the terms and conditions below.
2. RATIONALE FOR THE ACQUISITION OF MONKS COWL
Gooderson manages and provides accommodation, food and beverage and
restaurant services to leisure, international and conference tourists in
the KwaZulu-Natal and Gauteng Provinces.
The acquisition of Monks Cowl will expand Gooderson`s portfolio and will
fit in with the company`s business model.
Permission has been granted for the expansion of further accommodation
units at Monks Cowl.
3. DESCRIPTION OF MONKS COWL
Monks Cowl Country Club is situated in the Central Drakensberg
approximately four hours from Johannesburg and two and a half hours from
Durban, in the magnificent Champagne Valley. It comprises of six spacious
free standing fully furnished units, restaurant, bar and conference venue.
Facilities include a pool table, 9 hole golf course, tennis courts and
swimming pool.
4. TERMS AND CONDITIONS OF THE ACQUISITION
4.1 On 25 April 2012 Gooderson made an offer to purchase Monks Cowl, which
contained certain terms and conditions and warranties by the seller.
The offer to purchase was accepted by the seller on 26 April 2012.
4.2 The total purchase price is R9.2 million. A deposit of R920 000 will
be paid which will be funded out of the cash resources of Gooderson.
4.3 The balance of the purchase price, R8.28 million, is payable upon
registration and transfer of the property into the name of the
purchaser and will be funded by debt which has already been secured.
Occupation will be given on the date of transfer or 1 July 2012,
whichever is first.
4.4 The acquisition is subject to the entering into of a sale agreement
containing terms and conditions which are customary in transactions of
this nature.
5. UNAUDITED PRO FORMA FINANCIAL EFFECTS OF THE ACQUISITION
The unaudited pro forma financial effects of the acquisition will be
published in due course.
6. CATEGORISATION OF THE ACQUISITION
The acquisition is categorised, in terms of the JSE Limited`s ("JSE")
Listings Requirements, as a Category 2 transaction and does not require
shareholders` approval.
7. CAUTIONARY ANNOUNCEMENT
Shareholders are advised to continue exercising caution in dealing in the
company`s securities on the JSE until such time as the financial effects of
the acquisition are published.
8. FURTHER ANNOUNCEMENT
Shareholders will be notified once a formal agreement has been signed and
all the conditions precedent have been met.
26 April 2012
Durban
Designated Adviser
Exchange Sponsors
Date: 26/04/2012 13:40:00 Produced by the JSE SENS Department.
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