TBS
TIIH
Tiger Brands - International Disposals
TIGER BRANDS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1944/017881/06)
Share code: TBS
ISIN code: ZAE000071080
("Tiger Brands" or "the company")
ANNOUNCEMENT - INTERNATIONAL DISPOSALS
Shareholders are advised that Tiger Brands has recently concluded the following
transactions:
- the disposal of the company"s 19.7% interest in Pescanova SA of Spain through
the disposal of the entire issued share capital of Tiger Brands" subsidiary
company, I C S Holdings Limited. The investment in Pescanova SA represented the
sole remaining asset of ICS Holdings;
- the disposal of the company"s interest in Cag-Tech Mauritius Limited through
which Tiger Brands held an effective 17% interest in Agro-Tech Foods Limited of
India.
As a result of the above two transactions, Tiger Brands received, in the
aggregate, cash proceeds of some R383 million, which will be applied to reduce
group borrowings. These disposals are in line with the company"s strategic
objective, of, where appropriate, owning the majority shares, and exercising
management control over its international interests.
The above disposals will result in the realisation of previously accrued fair
value gains, which were, at the time, accounted for as part of equity. The
realisaton of these gains will be accounted for through the income statement,
resulting in an abnormal profit of approximately R337 million. It is to be
noted that this abnormal profit will not form part of the company"s headline
earnings in the current financial year.
Tiger Brands will issue a trading update on 23 February 2006 to coincide with
the Annual General Meeting of shareholders.
Bryanston
Date: 9 February 2006
Sponsor
J.P.Morgan Equities Limited
Date: 09/02/2006 12:47:03 PM Produced by the JSE SENS Department
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