07:00 Wed 29 Nov 2017
Datatec Limited - Special cash dividend
A SPECIAL CASH DIVIDEND OF R23 PER SHARE TO ORDINARY SHAREHOLDERS WITH AN ELECTION TO RECEIVE NON‑RENOUNCEABLE CAPITALISATION ISSUE SHARES IN LIEU OF THE CASH DIVIDEND
1. Introduction
On
Notice is hereby given that the board of directors of the Company ("Board") has declared a special cash dividend of R23.00 per ordinary share ("Cash Dividend") to its ordinary shareholders ("Shareholders") recorded in its register at the close of business on the Record Date, being Friday,
The Cash Dividend will be treated as a 'dividend' for the purposes of the Income Tax Act, No 58 of 1962 (as amended) and, consequently, a dividend withholding tax of 20% will apply to all Shareholders who do not qualify for an exemption. The gross Cash Dividend is an amount of R23.00 (approximately U$1.66 per share) per Share and, after deduction of dividend withholding tax, the net Cash Dividend is an amount of R18.40 per Share. No STC (secondary tax on companies) credits are available for utilisation by the Company. Foreign Shareholders (i.e. those who are not residents of
Shareholders are entitled, in respect of all or a part of their shareholding, to elect to receive a scrip distribution of fully‑paid capitalisation Shares ("the Scrip Distribution") in lieu of the Cash Dividend. Any such elections must reach the Company's transfer secretaries,
New Shares issued pursuant to the Scrip Distribution alternative will be settled by way of the capitalisation of the Company's distributable retained profits.
To the extent that the full Cash Dividend is not paid as a result of Shareholders electing the Scrip Distribution alternative, the Board intends to use the full undistributed cash amount to undertake a general buyback of Shares through the market under the authority granted at the Annual General Meeting on Thursday,
As announced on
The Company's total number of issued Shares as at
2. Terms of the Scrip Distribution
Shareholders will receive the Cash Dividend in respect of the Shares held by them as at the close of business on the Record Date, being Friday,
Shareholders are, however, entitled to elect to receive a distribution of fully‑paid capitalisation Shares, in respect of all or any part of their shareholding as at the close of business on the Record Date, being Friday,
The maximum number of Shares which the Company is able to issue to Shareholders electing the Scrip Distribution alternative is 63,590,285 Shares, based on the number of Shares in issue (including treasury shares) as at Tuesday,
The number of Scrip Distribution Shares to which each of the Shareholders will become entitled pursuant to the Scrip Distribution (if and to the extent that such Shareholders have elected to receive the Scrip Distribution) will be determined by reference to such Shareholder's shareholding in
Where the application of this ratio of entitlement gives rise to a fraction of a new ordinary share, such fraction of a new ordinary share will be rounded down to the nearest whole number, resulting in allocations of whole Shares and a cash payment for the fraction. In addition, if the maximum number of Shares that the Company is able to issue pursuant to the Scrip Distribution alternative exceeds 63,590,285 Shares, then the allocations of Shares will be proportionately scaled down and Shareholders will be deemed to have elected the Scrip Distribution alternative for a proportionately smaller part of their shareholding. Such Shareholders will receive cash for the remaining part of their dividend. The fractional entitlement in respect of the rounding down of new Shares to the nearest whole number will also apply. The applicable cash payment for any fraction arising in terms hereof is determined with reference to the volume weighted average price of a Share traded on the JSE on Wednesday,
3. Circular and salient dates
A circular providing shareholders with full information on the Cash Dividend and the Scrip Distribution alternative, including a Form of Election to elect to receive the Scrip Distribution Shares in lieu of the Cash Dividend, will be made available on the Company's website (www.datatec.co.za) and posted to certificated Shareholders and dematerialised Shareholders who have not elected to receive electronic communications from the Company on or about Friday,
EVENT | 2018 |
Record date for Shareholders eligible to receive the Circular | Friday, |
Circular and Form of Election posted to Shareholders and released on SENS on | Friday, |
Finalisation Announcement released on SENS in respect of the ratio of entitlement applicable to the Scrip Distribution, based on the 30‑day volume weighted average price ending at the close of business on Thursday, | Friday, |
Finalisation Announcement published in the press of the ratio of entitlement applicable to the Scrip Distribution, based on the 30-day volume weighted average price ending at the close of business on Thursday, | Wednesday, |
Last day to trade in order to be eligible for the Cash Dividend and the Scrip Distribution alternative | Tuesday, 9 January |
Shares trade "ex" the Cash Dividend and the Scrip Distribution alternative on | Wednesday, 10 January |
Listing and trading of maximum possible number of Shares on the JSE in terms of the Scrip Distribution alternative from the commencement of business on | Wednesday, 10 January |
Announcement relating to the calculation of cash payments in respect of fractional entitlements released on SENS by 11h00 on | Thursday, 11 January |
Last day to elect to receive the Scrip Distribution alternative in lieu of the Cash Dividend, Forms of Election to reach the Transfer Secretaries by 12h00 noon on | Friday, 12 January |
Record Date in respect of the Cash Dividend and the Scrip Distribution alternative | Friday, 12 January |
Announcement relating to the results of the Cash Dividend and the Scrip Distribution alternative released on SENS on | Monday, 15 January |
Scrip Distribution shares issued to shareholders on the register and Scrip Distribution certificates posted, and Cash Dividend payments made, CSDP/broker accounts credited/updated, as applicable, on | Monday, 15 January |
Announcement relating to the results of the Cash Dividend and the Scrip Distribution alternative published in the press on | Tuesday, 16 January |
JSE listing of Shares in respect of the Scrip Distribution adjusted to reflect the actual number of Shares issued in terms of the Scrip Distribution alternative at the commencement of business on or about | Wednesday, 17 January |
All times provided in this announcement are South African local times. The above dates and times are subject to change. Any material change will be announced on SENS.
Share certificates may not be dematerialised or rematerialised between Wednesday,
Enquiries:
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| +44 (0) 1753 797 118 |
| +27 (0) 11 233 3301 |
| +27 (0) 11 233 1013 |
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| +44 (0) 20 7029 8000 |
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finnCap - Broker | |
| +44 (0) 20 7220 0500 |
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| +27 (0) 11 447 3030 |
| +44 (0) 20 7457 2077 |
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