GLOBAL TECHNOLOGY LIMITED - ANNOUNCEMENT REGARDING AGREEMENT REACHED BETWEEN
GLOTEC AND ITS MAJOR FINANCIERS AND FURTHER CAUTIONARY ANNOUNCEMENT
Global Technology Limited
Incorporated in the Republic of South Africa
(Registration number 1996/009809/06)
Share Code: GLT ISIN: ZAE000016820
("Glotec" or "the company")
ANNOUNCEMENT REGARDING AGREEMENT REACHED BETWEEN GLOTEC AND ITS
MAJOR FINANCIERS AND FURTHER CAUTIONARY ANNOUNCEMENT
Further to the cautionary announcement dated 19 November 2003, Glotec
shareholders are advised that the company has reached agreement with its major
financiers to convert approximately R46 million of debt owed by the company to
the said financiers into Glotec equity by way of a partially underwritten rights
offer at two cents per Glotec share ("the rights offer").
Shareholders are further advised that the company has accepted an offer from
Clidet No 475 (Proprietary) Limited, a special purpose vehicle in which the
current management of Brolink (Proprietary) Limited ("Brolink") holds a majority
equity interest, to purchase the business of Brolink and the entire issued share
capital of and claims against Brolink and Global Technology Insurance Systems
(Proprietary) Limited (a subsidiary of Glotec) for an aggregate purchase
consideration of R12 million ("the disposal"). The disposal is subject, inter
alia, to the suspensive condition that comprehensive agreements in respect of
the disposal are concluded and such agreements becoming unconditional to their
terms. Accordingly, Glotec shareholders are advised to continue exercising
caution when dealing in the company"s securities until a full announcement is
made in this regard.
A circular, detailing the term and financial effects of the rights offer and the
disposal, will be mailed to Glotec shareholders in due course.
By order of the Board
Johannesburg
12 December 2003
Sponsor
Merchant Sponsors (Proprietary)
Limited
Corporate Advisor
Merchantec (Proprietary)
Limited
Company Secretary
Arcay Client Support
(Proprietary) Limited
(Registration number
1998/025284/07)
Date: 12/12/2003 05:05:02 PM Produced by the JSE SENS Department
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