Capital Alliance Holdings - Purchase Of Ordinary S
Capital Alliance Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 1952/000756/06)
Share code CPT ISIN ZAE000011904
("Capital Alliance")
- PURCHASE OF ORDINARY SHARES IN CAPITAL ALLIANCE
- ACQUISITION OF A FURTHER 3% OF ISSUED CAPITAL
1. INTRODUCTION
Authority for capital alliance to repurchase its securities was renewed in
a special resolution passed by members at an annual general meeting held on
10 October 2001. A maximum of 27 466 458 ordinary shares may be acquired in
terms of this resolution.
2. Implementation
At 17:00 on 11 February 2002, Capital Alliance had acquired in the open
market a further 4 151 784 ordinary shares, equivalent to 3% of the issued
share capital of Capital Alliance at 10 October 2001. The programme
recommenced on 15 December 2000 and continued as and when market conditions
allowed. The highest price paid for the ordinary shares in terms of the
programme was R10,80 per share and the lowest R9,50 per share, for a total
consideration of R42,2 million. Since the repurchase programme commenced in
July 2000, a total of 14 049 550 shares have been purchased for a total
consideration of R146,1 million.
3. Source of funds
Purchases to date have been funded from available cash. In accordance with
the approved plan, future purchases will be funded from available cash.
4. Opinion of directors
Having considered the effect of the purchases made so far, the directors of
Capital Alliance remain of the opinion that:
- Capital Alliance and its subsidiaries will, in the ordinary course of
business, be able to pay their debts for a period of 12 months from the date
of this announcement;
- the consolidated assets of Capital Alliance and its subsidiaries will be
in excess of their consolidated liabilities, measured in accordance with the
accounting policies used in the interim results for the six months ended 30
September 2001;
- the ordinary share capital and consolidated reserves of Capital Alliance
and its subsidiaries will be adequate for a period of 12 months from the
date of this announcement; and
- the working capital of Capital Alliance and its subsidiaries will be
adequate for a period of 12 months from the date of this announcement.
5. Effect on earnings, embedded value and net asset value
Before purchase After purchase %
(cents) (cents) Change
Attributable earnings per share (273,0) (278,4) -1.98
Headline earnings per share 102,0 103,1 +1.08
Embedded value per share 1 198,1 1 200,5 0.20
Net asset value per share -0.67
(including investments at market
value) 732,0 727,1
The pro forma financial effects are calculated based on the results for the
six months ended 30 September 2001 assuming that the purchases to date had
been carried out on 1 April 2001. The accounting policies employed by
Capital Alliance for the six months ended 30 September 2001 have been
applied in making these calculations.
6. Stock exchange listing
Application will be made for termination of the listing of the relevant
ordinary shares in capital alliance on the JSE Securities Exchange South
Africa.
Johannesburg
12 February 2002
Merchant bank
Investec Corporate Finance
Investec Bank Limited
(Registration number 1969/004763/06)
Sponsor
Investec Securities Limited
Member of the JSE
Registration No. 1972/008905/06
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.
