| Thu 28 Sep 2006, 8:00 | | Wellco - Additional issue of shares for cash and c |
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WLL
WLL
Wellco - Additional issue of shares for cash and correction of pro forma
financial effects of vendor placement announced on 6 July 2006
Wellco Health Limited
(formerly Nungu Trading 279 (Pty) Ltd)
(Incorporated in the Republic of South Africa)
(Registration number 2005/005805/06)
Share code: WLL & ISIN: ZAE000071841
("Wellco" or "the company")
Announcement of an additional issue of shares for cash and correction of
pro forma financial effects of vendor placement announced on 6 July 2006
River Group is authorised to announce that Wellco has placed 8 413 921
shares, under the general authority to issue shares for cash, with offshore
investors at 35 cents per share as calculated on the day the placement was
finalised and closed, being 26 September 2006.
The table below sets out the pro forma financial effects of the issue of
shares for cash, based on Wellco"s audited results for the year ended 28
February 2006. The financial effects are presented for illustrative
purposes only and because of their nature may not give a fair reflection of
Wellco"s results, financial position and changes in equity after the
transaction. It has been assumed for purposes of the pro forma financial
effects that the above transactions took place with effect from 1 March
2005 for income statement purposes and 28 February 2006 for balance sheet
purposes. The directors of Wellco are responsible for the preparation of
the financial effects, which have not been reviewed by the auditors.
Before After the After the %Change
vendor issue of shares
placement for cash
Earnings per
share (cents) (1,25) (0,92) (0,83) 33,60
Headline earnings
per share (cents) (1,49) (1,10) (0,99) 33,56
Net asset value
per share (cents) 50,36 45,06 44,06 (12,51)
Net tangible asset
value per share (cents) 4,05 7,25 9,99 146,67
Number of shares
in issue (`000) 56 828 76 828 85 242 50,00
1. The "Before" financial information has been extracted, without
adjustment from the published, audited results of Wellco for the period
ended 28 February 2006.
2. The "After the vendor placement" column represents the effects after
the vendor placement and general issue of shares for cash of R6 million and
issue of an additional new Wellco shares of 20 000 000. Earnings and
headline earnings per share have not been adjusted for anything else, other
than to indicate any dilutionary effect of the new additional shares being
issued.
3. The "After the issue of shares for cash" column represents the effects
after the issue of shares for cash of R2 944 872 and issue of an additional
8 413 931 new Wellco shares. Earnings and headline earnings per share have
not been adjusted for anything else, other than to indicate any dilutionary
effect of the new additional shares being issued, as the new funds will be
used immediately for planned expenditure.
4. The "% Change" column compares the "After the issue of shares for
cash" column to the "Before" column.
CORRECTION OF FINANCIAL EFFECTS OF VENDOR PLACEMENT ANNOUNCED ON 6 JULY
2006
As requested by the JSE, the board would like to correct the pro forma
financial effects of the previously published vendor placement as announced
on 6 July 2006 in view of the material effects of the audited financial
statements on the previously published announcement. Wellco would therefore
request shareholders to ignore the financial effects previously published
and hereby withdraw the pro forma financial effects published on 6 July
2006 and replace them with those published below.
The table below sets out the pro forma financial effects of the vendor
placement and general authority to issue shares for cash, based on Wellco"s
audited results for the year ended 28 February 2006. The pro forma
financial effects are presented for illustrative purposes only and because
of their nature may not give a fair reflection of Wellco"s results,
financial position and changes in equity after the transaction. It has been
assumed for purposes of the pro forma financial effects that the above
transactions took place with effect from 1 March 2005 for income statement
purposes and 28 February 2006 for balance sheet purposes. The directors of
Wellco are responsible for the preparation of the pro forma financial
effects, which have not been reviewed by the auditors.
Before After % Change
Earnings per share (cents) (1,25) (0,92) 26,40
Headline earnings per share (cents)(1,49) (1,10) 26,17
Net asset value per share (cents) 50,36 45,06 (10,52)
Net tangible asset value per share
(cents) 4,05 7,25 79,01
Number of shares in issue (`000) 56 828 76 828 35,19
1. The "Before" financial information has been extracted, without
adjustment from the published, audited results of Wellco for the period
ended 28 February 2006.
2. The "After" column represents the effects after the vendor placement
and general issue of shares for cash of R6 million and issue of an
additional new Wellco shares of 20 000 000. Earnings and headline earnings
per share have not been adjusted for anything else, other than to indicate
any dilutionary effect of the new additional shares being issued, as the
new funds will be used immediately for planned expenditure.
3. The "% Change" column compares the "After" column to the "Before"
column.
Pretoria
27 September 2006
Corporate & Designated Advisor
River Group
Warning: The listing of the ordinary shares in the company is on the ALTX.
Shareholders are advised of the risks of investing in a company listed on
the ALTX. Shareholders are advised that the JSE does not guarantee the
viability or the success of a company listed on the ALTX. In terms of the
JSE Listings Requirements a designated advisor has to be retained by the
company. The designated advisor is required to, inter alia, attend all
board meetings held by the company to ensure that all JSE Listings
Requirements and applicable regulations are complied with, approve the
financial director of the company and guide the company in a competent,
professional and impartial manner. If the company fails to retain a
designated advisor it must make arrangements to appoint a new designated
advisor within 10 business days, failing which the company faces suspension
of trading of its securities. If a designated advisor is not appointed
within 30 days of its suspension the company faces the termination of its
listing without an offer to minority shareholders.
Date: 28/09/2006 08:00:05 AM Produced by the JSE SENS Department
