Gencor announced that it would, subject to certain conditions precedent, distribute all of its Implats shares to Gencor shareholders registered as such on 11 Oct 02. The unbundling would take the form of a dividend in specie and reduction of the share premium account and followed the expiration of a five year indemnity, included as part of the sale of its non-precious metal assets to Billiton plc on 1 Jul 97.
As Gencor would not qualify for the various unbundling exemptions in respect of any portion of the Implats' distribution shares to be distributed to non-resident shareholders, holding in excess of 5% of the issued share capital of Gencor on the record date, the group said that it would sell enough of its Implats holding as necessary to settle the tax liability in respect of these shareholders. The final unbundling ratio would therefore only be disclosed on 29 Oct 02.
On the assumption that Gencor owned 30.6m shares on the date of the distribution, Gencor shareholders would receive around 8.77986 Implats shares for every 100 Gencor shares held. The transaction would have the effect of increasing Gencor's basic and fully diluted earnings per share by 95.8% to 26.4cps, increasing basic and fully diluted headline earnings by 99.4cps to 3.4cps and boosting net asset value by 92.1% to 105.7cps.
Subsequent to the unbundling, Gencor's listing would be transferred from the "Resources - Platinum" sector to the "Financials - Speciality & Other Finance" sector. In terms of the JSE Listings Requirements, Gencor's listing would be suspended 6 months after the unbundling and terminated 3 months thereafter. Gencor would then be an unlisted public company.
Gencor shareholders would meet on 2 Oct 02 to vote on the unbundling, the group's listing would be transferred to the "Financials - Speciality & Other Finance" sector on 7 Oct 02 and share certificates distributed to Gencor shareholders on 29 Oct 02.
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 has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
