| Mon 9 Oct 2006, 13:00 | | Mvela Group - Cash distribution in lieu of a final |
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MVG MVGP
MVG
Mvela Group - Cash distribution in lieu of a final ordinary dividend
Mvelaphanda Group Limited
(Incorporated in the Republic of South Africa)
Registration number 1995/004153/06
Ordinary share code: MVG
Preference share code: MVGP
Ordinary share: ISIN: ZAE000060737
Preference share: ISIN: ZAE000073540
("Mvela Group" or "the Company")
CASH DISTRIBUTION TO ORDINARY SHAREHOLDERS OF 13 CENTS PER MVELA GROUP
ORDINARY SHARE, IN LIEU OF A FINAL ORDINARY DIVIDEND FOR THE YEAR ENDED
30 JUNE 2006
1. Introduction
Shareholders are referred to Mvela Group"s reviewed results for the year
ended 30 June 2006 ("the reviewed results")which were announced on SENS
on 5 September 2006, in which shareholders were advised that the Board
had resolved to declare a cash distribution out of share premium, in lieu
of a final ordinary dividend for the year ended 30 June 2006, to Mvela
Group ordinary shareholders, by way of a specific return of share premium
("the cash distribution").
2. Financial effects
The cash distribution will have no effect on the issued share capital of
Mvela Group and no effect on the number of Mvela Group shares in issue.
The table below sets out, for illustrative purposes only, the pro forma
financial effects of the cash distribution on Mvela Group"s earnings per
ordinary share, headline earnings per ordinary share, fully diluted
earnings per ordinary share and fully diluted headline earnings per
ordinary share for the year ended 30 June 2006, and net asset value per
ordinary share and net tangible asset value per ordinary share at 30 June
2006, based on Mvela Group"s reviewed results for the year ended 30 June
2006. The directors of Mvela Group are responsible for the preparation
of the unaudited pro forma financial effects. Due to the nature of the
pro forma financial effects, they may not fairly present Mvela Group"s
financial position, changes in equity, results of operations or cash
flows.
Reviewed Pro forma Percentage
Notes before the after the change
cash cash
distribution distribution
Earnings per Mvela Group 1,2,3 270.4 269.7 (0.26)
ordinary share (cents)
Headline earnings per Mvela 1,2,3 322.1 321.5 (0.19)
Group ordinary share
(cents)
Fully diluted earnings per 1,2,4 239.5 238.9 (0.25)
Mvela Group ordinary share
(cents)
Fully diluted headline 1,2,4 285.3 284.7 (0.21)
earnings per Mvela Group
ordinary share (cents)
Net asset value per Mvela 5,6 920.7 908.6 (1.31)
Group ordinary share
(cents)
Net tangible asset value 5,6 760.9 748.8 (1.59)
per Mvela Group ordinary
share (cents)
Net number of Mvela Group 442 320 442 320
ordinary shares in issue
(`000)
Weighted average number of 423 407 423 407
Mvela Group ordinary shares
in issue (`000)
Fully diluted net number of 497 020 497 020
Mvela Group ordinary shares
in issue (`000)*
Fully diluted weighted 478 107 478 107
average number of Mvela
Group ordinary shares in
issue (`000)*
* Calculated on the basis that all Mvela Group preference shares in issue
at 30 June 2006 will be converted into Mvela Group ordinary shares after
4 November 2009
Notes:
The pro forma financial effects of the cash distribution on Mvela Group
are calculated on the following basis:
1. The cash distribution was paid to Mvela Group ordinary shareholders
on 1 July 2005.
2. The adjustments to the earnings per Mvela Group ordinary share and
headline earnings per Mvela Group ordinary share represent interest
forfeited on the cash distributed, calculated at an after-tax rate
of 4.97% per annum.
3. The earnings per Mvela Group ordinary share and headline earnings
per Mvela Group ordinary share are based on the weighted average
number of Mvela Group ordinary shares in issue.
4. The fully diluted earnings per Mvela Group ordinary share and fully
diluted headline earnings per Mvela Group ordinary share are based
on the fully diluted weighted average number of Mvela Group ordinary
shares in issue during the year.
5. The adjustments to the net asset value per Mvela Group ordinary
share and net tangible asset value per Mvela Group ordinary share
represent the cash distribution and interest forfeited as explained
in notes 1 and 2 above.
6. The net asset value per Mvela Group ordinary share and net tangible
asset value per Mvela Group ordinary share are based on the fully
diluted net number of Mvela Group ordinary shares in issue
3. Salient dates
The salient dates for the implementation of the cash distribution remain
as announced in Mvela Group"s reviewed results. The salient dates and
times are subject to amendment. Any amendments to the salient dates and
times will be announced on the Securities Exchange News Service and
published in the South African press.
4. Circular and general meeting
A circular has been posted to shareholders today, 9 October 2006,
including a notice convening a general meeting of Mvela Group ordinary
shareholders and Mvela Group preference shareholders, to be held at 11:00
on Tuesday, 24 October 2006 at the registered address of Mvela Group,
Hunts End, 36 Wierda Road West, Wierda Valley, Sandton for the purpose of
considering and, if deemed fit, passing, with or without modification,
the ordinary resolutions necessary to approve and implement the cash
distribution.
Sandton
9 October 2006
Sponsor to Mvela Group
Deutsche Securities (SA) (Prorietary) Limited
Date: 09/10/2006 01:00:04 PM Produced by the JSE SENS Department
