Media Releases

Reunert to redeem and delist its 5,5% cumulative preference shares
Wednesday, 5 June 2013

Shareholders of Reunert’s 5,5% cumulative preference shares (JSE Share Code: RLZP) (“the preference shares) are advised that Reunert will redeem all 350 000 of these preference shares at R2.10 per share on 1 July 2013. These shares will be delisted the following day from the JSE Limited.

In an announcement today Reunert indicated that the preference shares have traded minimally over the last two years.  In addition, the dividend payable in respect of these shares has, in real terms, reduced to such a level as to be of very little economic benefit to the preference shareholders. The annual preference dividend is currently 11 cents per share, an aggregate of R38 500 per annum. This preference dividend is now subject to the payment of dividend withholding tax, which further erodes the economic benefit for the company’s preference shareholders. The total number of preference shareholders is also less than the required shareholder spread of 50 shareholders, as prescribed in the JSE Listings Requirements.

The total value of the redemption is R735 000.  The amount being relatively small, the effect on the company’s net assets, net tangible assets, earnings and headline earnings per share is insignificant.

A final dividend of 5,5 cents per share will be paid on 1 July 2013, immediately before the redemption of the preference shares. The last date to trade is 21 June 2013 and the shares will be suspended on Monday, 24 June 2013 on the JSE’s trading system