| Fri 2 Mar 2007, 14:11 | | ELH - Ellerines - Repurchase of shares in 3% of El |
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ELH
ELH
ELH - Ellerines - Repurchase of shares in 3% of Ellerines` Issued Share Capital
Ellerine Holdings Limited
(Incorporated in the Republic of South Africa)
Registration number 1968/013402/06
Share code: ELH & ISIN: ZAE000022752
("Ellerines")
REPURCHASE OF SHARES IN 3% OF ELLERINES` ISSUED SHARE CAPITAL
1. Introduction
Nedbank Capital is authorised to announce that Ellerines has acquired 3,7million
shares in the issued share capital of Ellerines on the open market for a
purchase consideration in aggregate of R285 million ("the general
repurchase"). The general repurchase was effected in accordance with the
JSE Limited Listings Requirements and under the general authority granted
on 31 January 2006 at Ellerines` Annual General Meeting. The general
repurchase comprises approximately 3,0% of the total issued share capital.
2. Implementation
The general repurchase commenced on 15 November 2006 and continued on a day-to-
day basis as market conditions allowed until 28 February 2007. The lowest
and highest prices paid by Ellerines for the shares were 7 290 and 8 228
cents per share respectively. It is Ellerines` intention not to cancel the
shares acquired through the general repurchase and such shares will be kept
as treasury stock.
3. Extent of general authority outstanding
The extent of the general authority outstanding for the current financial year
is approximately 8,7 million shares, representing approximately 7,0% of the
total issued share capital.
4. Sources of funds
The general repurchase has been funded from available cash resources and
existing funding facilities.
5. Opinion of directors
The directors have considered the effect of the general repurchase and are
satisfied that for a period of 12 months from the date of this
announcement:
- - they will be able, in the ordinary course of business,
to pay their debts;
- the assets will be in excess of the group`s liabilities, having been
recognised and measured in accordance with the accounting policies used in
the audited financial statements for the year ended 31 August 2006;
- the share capital and reserves will be adequate; and
- the working capital will be adequate.
6. Financial effects
The pro forma financial effects on the basic, headline, fully diluted basic and
fully diluted headline earnings and net asset value per share before and
after the general repurchase are set out below. The pro forma financial
effects are the responsibility of the Ellerine`s directors and are provided
for illustrative purposes only.
Per share Notes Before After Change
(cents) (cents) (%)
Basic earnings 1 743,4 753,2 1,3
Headline earnings 1 741,9 751,7 1,3
Fully diluted basic 1 732,5 742,2 1,3
earnings
Fully diluted headline 1 731,1 740,7 1,3
earnings
Net asset value 2 4 127 4 244 2,8
Notes:
1. The amounts in the "Before" column represent the basic, headline,
fully diluted basic and fully diluted headline earnings per share
disclosed in the financial results for the year ended 31 August
2006. The amounts in the "After" column represent the basic,
headline, fully diluted basic and fully diluted headline earnings
per share after the general repurchase on the following
assumptions:
- the general repurchase was effected on 8 September 2005; and
- an after-tax funding cost of 5,68% per annum on the
borrowings required to fund the general repurchase.
2. The amounts in the "Before" column represent the net asset value
per share as disclosed in the financial results for the year
ended 31 August 2006. The amounts in the "After" column represent
the net asset value based on the financial results for the year
ended 31 August 2006 adjusted for the general repurchase, had it
been effected on 8 September 2005.
7. Conclusion
The directors of Ellerines will continue to repurchase securities as and
when opportunities arise.
Johannesburg
2 March 2007
Sponsor
Nedbank Capital
Date: 02/03/2007 14:11:57 Produced by the JSE SENS Department.
