Spur - Results Of Repurchase Of Ordinary Shares In Terms Of A General Authority
Spur Corporation Limited
(Incorporated in the Republic of South Africa)
(Registration number 1998/000828/06)
Share code : SUR
ISIN code : ZAE 000022653
("Spur" or "the company")
RESULTS OF REPURCHASE OF ORDINARY SHARES IN TERMS OF A GENERAL AUTHORITY
1. INTRODUCTION
Spur has, in accordance with the general authority renewed at the annual general
meeting of shareholders held on 5 December 2002, cumulatively repurchased 3,1%
of its ordinary shares on the JSE Securities Exchange South Africa ("JSE") ("the
repurchase").
2. REPURCHASE DETAILS
The details of the repurchase are as follows:
Dates of the repurchases: Between 2 November 2000 and
12 December 2002
Highest price paid during the 310 cents per share
repurchase period:
Lowest price paid during the 195 cents per share
repurchase period:
Number of ordinary shares 3 016 815
repurchased:
Value of ordinary shares R7 228 953
repurchased:
Extent of authority outstanding: 16 509 752 ordinary shares
representing 16,9% of the
current issued share
capital
3. OPINIONS
Existing cash resources were utilised to fund the repurchase and will be set off
against share capital and share premium.
The directors of Spur have considered the impact of the repurchase and are of
the unanimous opinion that for a period of twelve months from the date of this
announcement:
* the company and the group will be able, in the ordinary course of business, to
pay their debts as they become due;
* the assets of the company and the group will be in excess of the liabilities
of the company and the group, the assets and liabilities being recognised and
measured in accordance with the accounting policies used in the latest audited
annual group financial statements;
* the working capital resources of the company and the group will be adequate
for their current and foreseeable future business requirements; and
* the issued share capital and/or reserves are adequate for the purposes of the
business of the company and the Group for the foreseeable future without taking
into account any further acquisitions
4. FINANCIAL EFFECTS
The table below sets out the pro forma financial effects of the repurchase on
Spur`s net tangible asset value (Spur has no intangible assets), earnings and
headline earnings per share based on the audited financial results for the year
ended 30 June 2002:
Audited Pro
Before forma %
After change
Earnings and headline 41,0 41,8 2,0
earnings per share (cents)
Net tangible asset value 130,5 127,0 (2,7)
per share (cents)
Weighted average number of 93 822 90 805
ordinary shares in issue
(000`s)
The pro forma financial effects have been calculated based on the following
assumptions:
- The financial effects have been calculated on the assumption that the
consideration payable for the repurchase (R7,2 million) was financed from the
Group`s available cash resources at 30 June 2002.
- The effect on net tangible asset value assumes that the repurchase was
implemented on 30 June 2002.
- The calculation of the pro forma headline earnings per share after the
repurchase assumes that the repurchase was effected on 1 July 2001 and that the
interest forfeited on the cash resources utilised for the repurchase was
calculated at a pre tax rate of 10% per annum and
- The shares repurchased have been ignored for purposes of calculating the pro
forma earnings per share, headline earnings per share and net tangible asset
value per share.
5. LISTING ON THE JSE
As the shares have been bought by a subsidiary of Spur and not by the company
itself, no application will be made to the JSE for the termination of the
listing of the repurchased shares.
Cape Town
12 December 2002
SPONSOR
BARNARD JACOBS MELLET CORPORATE FINANCE
(PROPRIETARY) LIMITED
Date: 12/12/2002 05:10:19 PM Produced by the JSE SENS Department
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