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 The Sharenet Daily 
Tuesday, 09 April 2013 - 20:00
Top News
SA Business
Company News
Company Results
World Markets (Spot Prices)
JSE Today
JSE Trading Statistics
Major Moves
Index Summary
Latest Consensus Changes / Results Expected
Recent Dividends / Ex Div
Upcoming AGMs
Stock Exchange News Service (SENS)

Bidvest ? Proudly Diversified and Ever Expanding

The Bidvest Group Ltd is an international services, trading and distribution company proudly rooted in South Africa. Brian Joffe, renowned entrepreneur and current Chief Executive, launched the empire in 1988 with the acquisition of Chipkins Catering Supplies.

Whilst many of the JSE’s large conglomerates have been unbundling assets and concentrating on their core business activities, Bidvest has maintained a steady stream of acquisitions and has managed to create added value for their shareholders by bundling assets together.

The Group consists of four divisions, namely Corporate, South Africa, Foodservice and Namibia.

Bidvest Corporate houses the Group’s investments and provides strategic direction, risk management and corporate finance to the Group. Bidvest South Africa has 10 units, including Automotive (McCarthy and Burchmore’s), Financial Services (Bidvest Bank and Rennies Foreign Exchange), Industrial (Yamaha products in SA) and Office (Waltons). Bidvest Foodservice is spread across Europe, Asia Pacific and Southern Africa and includes Seafood Holdings in the UK, Deli Meals in Chile and Crown National in SA. The Namibia division houses Fishing and Commercial units, operating mainly in the marine industry.

The key to much of Bidvest’s success is their decentralised management strategy, which means that each underlying business is run individually. In most instances Bidvest owns 100% of its underlying companies, but the original management team or founding entrepreneur is encouraged to remain in charge of the purchased business. As a result, most companies in the Bidvest group have management teams that are experienced leaders in their field and can react quickly to changes in their industry.

Interim Results

Bidvest has recently released a set of decent interim results for the six months ended 31 December 2012. Revenue has increased by 11.9% to R75.4 billion, with trading profit up 8.3%. Normalised Headline Earnings Per Share has increased by an impressive 18.2%, and the interim dividend per share increased by 15.7% to 324 cents.

Bidvest South Africa has achieved a “pleasing result in a difficult trading environment”. The division has reported an 8% increase in revenue and a 12.8% increase in trading profit, with the trading margin running at 5.96%. Significant increases in operating profits were reported by the Automotive (+34.9%), Services (+28.5%) and Travel & Aviation (+27.1%) units, while the Office (-7.4%) and Paper (-5.8%) units reported notable decreases.

The Bidvest Foodservice unit reported a good quality result out of Australia, New Zealand and Greater China, with Singapore and Netherlands detracting from the results. The UK operation has regained some momentum and the South African results are encouraging to management. Revenue has increased by 16.6% for the entire unit, whilst trading profit has increased by 9.4%.

Bidvest Namibia has reported a 34% increase in revenue, but a 20.7% decrease in trading profit from an exceptionally high base. Much of the decline can be attributed to the Fishing unit, where a 25% reduction in quota allocation and entry of foreign competitors has hurt profitability.

Source: Bidvest.co.za

Prospects and acquisitions in progress

While the current economic environment remains challenging for Bidvest on all fronts, management remains focussed on delivering organic growth and seeking out opportunities to make additional acquisitions. With its strong cash-generative ability, the company remains poised to act quickly if needed without turning to debt financing.

Continued expansion into Africa is on management’s agenda, as well as a focus on improved customer service and ongoing cost control.

A very recent development making headlines is Bidvest’s intended purchase of 60% of Adcock Ingram, an offer which now tends to become hostile after various objections from the Adcock board on technical points. This development is in contrast to Bidvest’s long history of friendly acquisitions, and it could be difficult to retain Adcock’s management team if the offer eventually succeeds. It is said that the current offer of $675m is at a premium of 10% over Adcock’s closing price, but about 20% below Adcock’s intrinsic value as calculated by Thomson Reuters StarMine. Although Adcock has significantly underperformed local rivals over the past year, its management claims that investments in new infrastructure and global distribution partnerships have set it up for a major turnaround. As a result, the timing of the offer is perfect from Bidvest’s side but seen as extremely “opportunistic” by the Adcock board.

Source: Sharenet.co.za

Current Valuation

The Bidvest share price has climbed steadily over the past 12 months, increasing by 28% and reaching an all-time high of R 247.85 along the way. The share currently trades on a PE of about 16 times and a Dividend Yield of 2.9%, which is on par with the total market.

A complex conglomerate such as Bidvest is very difficult to value, and investors have to decide if adding the struggling Adcock to the Bidvest portfolio can unleash the pharmaceutical’s potential and add further value to the ever expanding Group.

Kind regards,

Cor van Deventer

Sources: www.bidvest.co.za

021 914 4966

Tue, 09 Apr 2013
Top News
South Africa's benchmark index ended slightly lower on Tuesday as a pull-back in some of the strongest performers this year cancelled out a rebound in recently beaten-down mining shares.  Full story

South Africa's 2012/13 sugar output rose to 1.952 million tonnes from 1.822 million tonnes in the previous season, the South African Sugar Association (SASA) said.  Full story
Despite winning rare praise from the West for freeing an opponent from jail, Ukrainian President Viktor Yanukovich is likely to resist extra pressure and the lure of trade deals to release his fiercest rival, ex-prime minister Yulia Tymoshenko.  Full story
A powerful earthquake struck close to Iran's only nuclear power station on Tuesday, killing 30 people and injuring 800 as it devastated small villages, state media reported.  Full story
Uhuru Kenyatta was sworn in as Kenyan president on Tuesday, presenting Western states with the challenge of how to deal with a leader indicted by the International Criminal Court (ICC).  Full story
The yen gained on Tuesday, snapping a three-day decline against the U.S. dollar, while a fall in Chinese inflation helped stocks and offset. . .  Full story
Gold rose 1 percent on Tuesday as volatility in the currency market triggered by Japan's aggressive monetary easing plan lifted bullion's appeal as. . .  Full story
European shares finished broadly steady on Tuesday, with concerns about a weak first-quarter earnings season outweighing a rally in miners on prospects for continued. . .  Full story
U.S. stocks were flat on Tuesday as cautious investors waited to see if earnings would keep the market rally alive, while the choice. . .  Full story

Britain's top shares rose on Tuesday, led by miners on hopes for an improved outlook for demand, although investors were wary that the. . .  Full story
European shares erased earlier gains in afternoon trade on Tuesday, with the FTSEurofirst 300 index dipping into the red after a muted start. . .  Full story
U.S. stocks edged higher at the open on Tuesday after encouraging economic data from China, while investors braced for corporate earnings that are. . .  Full story
European shares held onto gains around midday on Tuesday as miners rose on higher metals prices after Chinese data strengthened demand prospects and. . .  Full story

Standard Chartered has opened two new branches in South Africa to target Cape Town and Durban-based companies looking to expand across. . .  Full story
South Africa's central bank has done reasonably well to balance economic growth and the need to create jobs while also pursuing. . .  Full story
South Africa's Tsogo Sun Holdings will spend a minimum of 750 million rand to expand and refurbish its Silverstar casino and. . .  Full story
Argentina will reduce its corn output next season as farmers - hobbled by high inflation and antagonistic government policies - brace for a. . .  Full story

South Africa's Richards Bay Coal Terminal (RBCT) exported 7.49 million tonnes of coal in March, up from 5.45 million tonnes the. . .  Full story
South Africa's Treasury sold a total 2.35 billion rand of its 2031, 2036 and 2048 government bonds on Tuesday. Yields were. . .  Full story
South African junior platinum mining firm Northam Platinum said on Tuesday it may dismiss striking rock drill operators at its Zondereinde. . .  Full story
South Africa's rand dipped below the psychologically key level of 9 to the dollar overnight as the Bank of Japan's massive. . .  Full story
Company News
Andulela shareholders are referred to the announcements released over SENS on 30 January, 28 February and 13 March 2013 in relation to: * the increase of the company's authorised share capital (the. . .  Full story
Bondholders and shareholders are referred to the announcement released on SENS on Friday, 15 February 2013 relating to the placement of Implats USD and ZAR convertible bonds for total gross proceeds of approximately USD200 million. . .  Full story
Shareholders were referred to the SENS announcement dated 18 March 2013 referring to the second provisional liquidation application against Angel Diamonds (Pty) Ltd. ("Angel Diamonds") (Case Number CIV/PET/01/2011) ("the Second Liquidation. . .  Full story
Company Results
Total income for the year ended 28 February 2013 was lower at R79.8 115,5. Results from operating activities 642,6 342,1. Profit for the year Attributable to: Owners of the parent. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0038540.81-41.00-0.11%
JSE Top 4017:0033930.95-53.00-0.16%
JSE Gold17:001772.7563.003.73%
JSE Financial17:0030149.24-54.00-0.18%
JSE Industrial17:0047736.47-610.00-1.26%
JSE Indust 2517:0041061.66-592.00-1.42%
JSE Resource17:0046174.84916.002.03%
DJ Futures19:4814640.0077.000.53%
DJ Ind19:5814701.1487.660.60%
SP 50019:521572.109.030.58%
FTSE 10017:356313.2136.270.58%
All Ords08:464980.2067.501.37%
NZSE 5007:524395.21-1.99-0.05%
NameTimeRPMove% Move
Gold $19:591585.9012.550.80%
Gold R19:5814149.8513.560.10%
Gold R/kg19:584551081110.02%
Silver $19:5927.9000.63602.33%
Platinum $19:591546.2015.200.99%
Palladium $19:59724.00-5.50-0.75%
Brent Crude19:58105.771.111.06%
Rand / Dollar19:598.9188-0.0666-0.74%
Rand / Pound19:5513.6413-0.0413-0.30%
Rand / Euro19:5511.6725-0.0237-0.20%
Rand / NZD19:587.6019-0.0051-0.07%
Rand / AUD19:559.3593-0.0012-0.01%
Yen / Dollar19:5999.2000-0.2510-0.25%
Euro / Dollar19:550.7637-0.0042-0.55%
Dollar / Euro19:591.30890.00740.57%
Pound / Dollar19:550.6519-0.0029-0.44%

Click here for the Sharenet Spot Price page
The JSE Today

Trading Statistics
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 KELLY  200158.11.%39788
2 ASSORE  2930019257.03.%146744
3 TORRE  13996.92.%100377
4 AFGRI  535346.79.%55038
5 ARGENT  630396.60.%27387
6 LONMIN  40152406.36.%855803
7 TSOGO-SUN  25991496.08.%320405
8 REDEFINE  1064545.35.%6864325
9 VUNANI  17995.29.%2000
10 GFIELDS  67613395.28.%1836217
11 TASTE  390154.00.%22734
12 CURRO  1900703.83.%107182
13 CADIZ  14053.70.%38825
14 ANGGOLD  204927203.64.%1208403
15 CAPITAL  1130302.73.%628436
16 HARMONY  55781482.73.%1519562
17 RAUBEX  1975502.60.%584686
18 AFRO-C  477122.58.%109700
19 METROFILE  420102.44.%847196
20 AQUARIUS  599142.39.%158782

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Major Moves Down
SharenameSaleMove% MoveVolume
1 REXTRU-N  1800-2200-55.00.%8000
2 ATLATSA  180-35-16.28.%10000
3 FONEWORX  220-30-12.00.%111872
4 RANGOLD  280-20-6.67.%3693
5 DIGICOR  206-12-5.50.%83900
6 HULAMIN  470-25-5.05.%695983
7 WITSGOLD  950-50-5.00.%3050
8 VILLAGE  101-5-4.72.%4377191
9 JUBILEE  107-5-4.46.%80980
10 ALERT  129-6-4.44.%11161
11 ARCMITTAL  2680-120-4.29.%1055182
12 DAWN  880-39-4.24.%62341
13 TRNSHEX  340-15-4.23.%3954
14 COMAIR  230-10-4.17.%77240
15 CONTROL  120-5-4.00.%1500
16 RBPLAT  5189-213-3.94.%402302
17 EQSTRA  615-25-3.91.%739076
18 BELL  2270-90-3.81.%136080
19 RICHEMONT  6774-256-3.64.%8051278
20 CBH  385-13-3.27.%225211

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New Highs
SharenameSaleHighMove% MoveVolume
1 TSOGO-SUN  259926501496.08.%320405
2 REDEFINE  10641064545.35.%6864325

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New Lows
SharenameSaleLowMove% MoveVolume
1 VILLAGE  101100-5-4.72.%4377191
2 LEWIS  61256010-80-1.29.%835610
3 ABIL  28452800200.71.%2202521

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Index Summary
Index NameRPMove% Move
Top 4033,930.00-53.00-0.16%
Mid Cap55,183.0089.000.16%
Small Cap43,726.00-69.00-0.16%
Resource 2046,174.00916.002.03%
Industrial 2541,061.00-592.00-1.42%
Financial 1511,211.00-53.00-0.47%
Financial & Ind. 3044,746.00-543.00-1.20%
All Share38,540.00-41.00-0.11%
Oil & Gas 29,522.00336.001.15%
Mining 28,908.00618.002.19%
Gold Mining1,772.0063.003.73%
Platinum Mining45.001.004.11%
GENERAL MINING7,860.00148.001.93%
Oil & Gas Producers 15,873.00181.001.16%
Basic Materials 25,162.00488.001.98%
Chemicals 19,273.00152.000.80%
Forestry & Paper 19,833.00-128.00-0.64%
Industrial Metals 22,848.00252.001.12%
Industrials 39,919.00-441.00-1.09%
General Industrials 116.00.00-0.67%
Consumer Goods 44,374.00-1058.00-2.33%
Automobiles & Parts 8,152.00-89.00-1.09%
Household Goods159.00-1-1.08%
Health Care 59,582.00-91.00-0.15%
Beverages 156.00-3.00-2.00%
Index NameRPMove% Move
Food Producers 68,261.00368.000.54%
Personal Goods 676.00-25.00-3.62%
Consumer Services 78,482.00-664.00-0.84%
General Retailers 60,866.00-87.00-0.14%
Travel & Leisure 5,370.0020.000.38%
Media 122.00.00-0.48%
Support Services 2,322.002.000.11%
Telecommunications 76,427.00-33.00-0.04%
Financials 30,149.00-54.00-0.18%
Banks 52,689.00-174.00-0.33%
Non-life Insurance 48,236.00-377.00-0.78%
Life Insurance 27,196.00-238.00-0.87%
General Financial 2,715.0014.000.53%
Technology 36,345.0088.000.24%
SHARIAH TOP40 3,161.00210.69%
FTSE/JSE SHARIAH ALL3,313.00220.67%
COAL MINING19,172.001140.60%
FTSE JSE Fledgling 5,969.00-46-0.77%
FTSE/JSE Alt X 931.000-0.07%
RESOURCE 25,389.005052.03%
DIVIDEND PLUS207.0000.27%
FTSE/JSE RAFI 407,798.00180.23%
Capped Top 4017,908.00-39-0.22%
Capped All Share19,516.00-27-0.14%
JSE TABACO 6,174.00-79-1.27%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
12/04/2013BIOSCIDecember 2013 (Interim)
12/04/2013HWANGEDecember 2012 (Final)
12/04/2013HWANGE-ADecember 2012 (Final)
15/04/2013PSGFebruary 2013 (Final)
15/04/2013PSGFIN PREFFebruary 2013 (Final)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
ZEDER08/04/201325/04/201306/05/2013R 0.0400
BARWORLD6%P08/04/201325/04/201306/05/2013R 0.0600
VIVIDEND05/04/201319/04/201329/04/2013R 0.2700
NTC PREF02/04/201325/04/201306/05/2013R 3.4966
TELEMASTR28/03/201319/04/201329/04/2013R 0.0050
Ex Div**
Share NameDec-DateLDTPay-DateAmount
BEE-SASOL11/03/201305/04/201315/04/2013R 5.7000
SASOL11/03/201305/04/201315/04/2013R 5.7000
STANBANK-P07/03/201305/04/201315/04/2013R 3.3196
CASHBIL12/03/201305/04/201315/04/2013R 2.9600
AECI26/02/201305/04/201315/04/2013R 1.8500

Upcoming AGMs**
CodeCompany NameDateStatus
ASOAustro Group Ltd.11/04/2013Confirmed

Stock Exchange News Service
09/04/201317:48NEDBANK LIMITED - Dividend Distribution - MNPNIG
09/04/201317:47NEDBANK LIMITED - Dividend Distribution - MNDNIG
09/04/201317:15DIGICORE HOLDINGS LIMITED - Dealing in securities by a director
09/04/201317:13ASCENSION PROPERTIES LIMITED - Financial effects of the private placment
09/04/201316:45THE SPAR GROUP LIMITED - Dealing in securities by the Spar Group Limited Employe...
09/04/201316:36ALEXANDER FORBES PREF SHARE INV LTD - Equity Co Notice of Special General Meetin...
09/04/201316:26DISTELL GROUP LIMITED - Further cautionary announcement
09/04/201316:25LONRHO PLC - TR-1: Notification of major interest in shares
09/04/201316:24ARDOR SA LIMITED - Cautionary Announcement
09/04/201316:18RESILIENT PROPERTY INCOME FUND LTD - Dealings in securities by an associate of a...
09/04/201316:14ALEXANDER FORBES PREF SHARE INV LTD - Af Pref: Notice of Special General Meeting
09/04/201316:08CURRO HOLDINGS LIMITED - Dealing in Curro Holdings Limited securities
09/04/201316:00CAPITAL & COUNTIES PROPERTIES PLC - Notification of Major Interest in Shares
09/04/201315:57ANDULELA INVESTMENT HOLDINGS LTD - Finalisation Announcement
09/04/201315:55INDWA INVESTMENTS LIMITED - New Instrument Listing - IND327
09/04/201315:01OLD MUTUAL PLC - Notification of Transactions of Directors/Persons Discharging M...
09/04/201315:00ROLFES HOLDINGS LIMITED - Dealing in securities by director
09/04/201315:00THE THEKWINI WAREHOUSING CONDUIT (RF) LTD - New Instrument Listing Announcement ...
09/04/201315:00OLD MUTUAL PLC - Notification of Transactions of Directors/Persons Discharging M...
09/04/201315:00RESILIENT PROPERTY INCOME FUND LTD - New Instrument Listing - RES20
09/04/201314:50METAIR INVESTMENTS LIMITED - Dealings in securities
09/04/201314:50FORTRESS INCOME FUND LIMITED - Interest Rate reset - FIFC03
09/04/201314:36TSOGO SUN HOLDINGS LIMITED - Tsogo Sun announces significant expansion programme...
09/04/201314:25EQSTRA HOLDINGS LIMITED - New Instrument Listing - EQS07
09/04/201314:17FONEWORX HOLDINGS LIMITED - Update To Shareholders
09/04/201314:15EQSTRA HOLDINGS LIMITED - New Instrument Listing - EQS06
09/04/201314:00EXXARO RESOURCES LIMITED - Exercise of conditional awards granted in terms of th...
09/04/201313:50ARGENT INDUSTRIAL LIMITED - Disclosure of acquisition of securities
09/04/201313:50MASSMART HOLDINGS LIMITED - Trading of Massmart ordinary shares on behalf of the...
09/04/201313:37RBA HOLDINGS LIMITED - Further announcement re disposal of subsidiary company
09/04/201313:30JSE LIMITED - Announcement relating to the listing and trading of the convertibl...
09/04/201313:05STANDARD BANK OF SOUTH AFRICA LD - SCIB: Dividend announcement in relation to th...
09/04/201313:04STANDARD BANK OF SOUTH AFRICA LD - CANCELLATION OF S330421 SCIB: Dividend announ...
09/04/201313:00CAXTON CTP PUBLISHERS & PRINTERS LD - Director's Dealing in Securities
09/04/201313:00PALLINGHURST RESOURCES LIMITED - Dealing in securities by Director
09/04/201312:50AFRICAN BANK LIMITED - Interest Rate Reset - ABL14 ABL15
09/04/201312:30THABEX LIMITED - Update to shareholders
09/04/201312:17ABSA BANK LIMITED - New Financial Instrument Listing ABN70 & ABN71
09/04/201311:35NORTHAM PLATINUM LIMITED - Update on interruption in production at Northam's Zon...
09/04/201311:10TRANSPACO LIMITED - Director's dealing in securities
09/04/201310:59GOLD FIELDS LIMITED - Illegal Strikes at Gold Fields Ghanaian Mines Resolved
09/04/201310:40METAIR INVESTMENTS LIMITED - Directors' dealings in securities
09/04/201309:55TRANSPACO LIMITED - Director's dealing in securities
09/04/201309:15STANDARD BANK OF SOUTH AFRICA LD - SCIB: Dividend announcement in relation to th...
09/04/201309:05PETMIN LIMITED - Director's dealing in securities
09/04/201309:00BLACKSTAR GROUP SE - Disclosure of Acquisition of Securities
09/04/201308:00MOBILE TEL NETWORKS HLDGS (PTY) LTD - New Financial Instrument Listing: MTNC16
09/04/201307:06BRITISH AMERICAN TOBACCO PLC - Transaction in own shares

Click here for more SENS news