|
Investec Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 1985/005574/06)
Share code: INH ISIN code: ZAE 000003562
("Inhold")
Investec Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1925/002833/06)
Share code: INT ISIN code: ZAE 000012555
("Investec")
Repurchase of ordinary shares
1. Introduction
In terms of special resolutions passed by the shareholders of Investec and
Inhold on 20 March 2001, Investec and Inhold and their respective subsidiary
companies were granted general authority ("the general authority") to
repurchase ordinary shares, subject to the provisions of the Companies Act,
1973 (Act 61 of 1973), as amended and the Listings Requirements of the JSE
Securities Exchange South Africa ("the JSE").
2. Share repurchase in terms of the general authority by Investec ("the
Investec share repurchase")
2.1 Implementation of the Investec share repurchase
The directors of Investec are authorised to announce the repurchase of 3 500
000 Investec ordinary shares on the open market of the JSE, equivalent to
3.5% of the total current issued share capital of Investec, in accordance
with the general authority.
The Investec share repurchase was effected on 14 September 2001. The total
consideration paid by Investec in terms of the Investec share repurchase was
R644 million with the price paid per Investec ordinary share being R184. In
terms of the JSE Listings Requirements, the number of Investec ordinary
shares which may still be repurchased during the current financial year in
terms of the general authority is 16.5 million, which is equivalent to 16.5%
of the total current issued share capital of Investec.
2.2 Source of funds for the Investec share repurchase
The Investec share repurchase has been funded from available internal
resources. Future repurchases will also be funded from available internal
resources.
2.3 Financial effects of the Investec share repurchase
The table below sets out the effect of the Investec share repurchase on the
earnings, headline earnings, net asset value and net tangible asset value
per Investec share:
Per Investec Before Pro forma Percentage
share (cents) after change (%)
(cents)
Earnings 1 048.3 1 041.8 (0.6)
Headline 1 628.2 1 648.0 1.2
earnings
Net asset value 9 042.8 8 688.3 (3.9)
Net tangible 6 071.9 5 605.0 (7.7)
asset value
Assumptions
The pro forma earnings and headline earnings financial effects have been
calculated on Investec's published audited results for the year ended 31
March 2001 assuming that the Investec share repurchase was carried out on 1
April 2000 and the pro forma net asset value and net tangible asset value
financial effects are calculated assuming the Investec share repurchase was
carried out on 31 March 2001 and was financed by cash on hand on which
interest was received at an after tax rate of 6.5% per annum.
Investec shareholder attention is drawn to the fact that 19 212 204 Investec
ordinary shares at R227.20 each were issued as part payment for the
acquisition by Investec of the insurance and financial service businesses of
Fedsure Holdings Limited with effect from 1 June 2001 ("the Fedsure
acquisition"). Accordingly, the financial effects represented above exclude
the impact of the Fedsure acquisition.
2.4 JSE listing
The ordinary shares repurchased in terms of the Investec share repurchase
will be cancelled as soon as possible after the publication of this
announcement and, accordingly, application will be made to the JSE for the
delisting of the relevant number of Investec ordinary shares.
3. Share repurchase in terms of the general authority by Inhold ("the Inhold
share repurchase")
3.1 Implementation of the Inhold share repurchase
The directors of Inhold are authorized to announce the repurchase of 3 754
500 Inhold ordinary shares on the open market of the JSE, equivalent to 9.2%
of the total current issued share capital of Inhold, in accordance with the
general authority.
The Inhold share repurchase was effected on 14 September 2001. The total
consideration paid by Inhold in terms of the Inhold share repurchase was
R604 million with the price paid per Inhold ordinary share being R161. In
terms of the JSE Listings Requirements, the number of Inhold ordinary shares
which may still be repurchased during the current financial year in terms of
the general authority is 4.4 million which is equivalent to 10.8% of the
total current issued share capital of Inhold.
3.2 Source of funds for the Inhold share repurchase
The Inhold share repurchase was funded from the disposal of an equivalent
rand amount of Investec ordinary shares on the open market of the JSE
pursuant to which the Investec share repurchase was implemented as detailed
in paragraph 2.1 above.
3.3 Financial effects of the Inhold share repurchase
The table below sets out the effect of the Inhold share repurchase on the
earnings, headline earnings and net asset value per Inhold share:
Per Inhold Before Pro forma Percentage
share (cents) after (cents) change (%)
Earnings 859.0 841.4 (2.0)
Headline 1 368.7 1 371.6 0.2
earnings
Net asset value 9 367.1 8 846.4 (5.6)
Assumptions
The pro forma earnings and headline earnings financial effects have been
calculated on Inhold's published audited results for the year ended 31 March
2001 assuming that the Inhold share repurchase was carried out on 1 April
2000 and the pro forma net asset value financial effects are calculated
assuming the Inhold share repurchase was carried out on 31 March 2001 and
was financed as detailed in paragraph 3.2 above.
3.4 JSE listing
The ordinary shares repurchased in terms of the Inhold share repurchase will
be cancelled as soon as possible after the publication of this announcement
and, accordingly, application will be made to the JSE for the delisting of
the relevant number of Inhold ordinary shares.
4. Opinion of the directors of Investec and Inhold
The directors of Investec and Inhold have considered the Investec share
repurchase and the Inhold share repurchase and are of the opinion that:
4.1 Investec and Inhold will be able, in the ordinary course of business, to
pay their respective debts for a period of 12 months from the date of this
announcement.
4.2 The consolidated assets of Investec and its subsidiaries and Inhold and
its subsidiaries will be in excess of the consolidated liabilities for a
period of 12 months from the date of this announcement, measured in
accordance with the accounting policies used in the audited annual financial
statements for the year ended 31 March 2001.
4.3 The ordinary share capital and consolidated reserves of Investec and its
subsidiaries and Inhold and its subsidiaries will be adequate for a period
of 12 months from the date of this announcement.
4.4 The working capital of Investec and its subsidiaries and Inhold and its
subsidiaries will be adequate for a period of 12 months from the date of
this announcement.
Sandton
17 September 2001
Merchant bank
Sponsor
Investec Corporate Finance
Investec Securities Limited
| Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information. | |||||||||||||
| Other Profile Group sites: FundsData Online (unit trust data) | Profile Group corporate site | |||||||||||||
| [ Terms of Use | Privacy Policy | PAIA manual | FAQs/Help | Site Map | © Copyright Reserved 2026 ] | |||||||||||||
|
|||||||||||||
