To view the PDF file, sign up for a MySharenet subscription.

NFILBI - NEWFUNDS ILBI ETF - Initial Offer for NewFunds ILBI ETF Participatory

Release Date: 12/01/2012 07:41
Code(s): JSE
Wrap Text

NFILBI - NEWFUNDS ILBI ETF - Initial Offer for NewFunds ILBI ETF Participatory Interests ("NewFunds securities") NEWFUNDS ILBI ETF ABBREVIATED NAME: NEWFNILBI SHARE CODE: NFILBI ISIN: ZAE000162244 A portfolio in the NewFunds Collective Investment Scheme in Securities ("NewFunds") (established on 21 December 2011 in the Republic of South Africa in terms of the Collective Investment Schemes Control Act, 45 of 2002)) (the "portfolio"), managed by NewFunds (Proprietary) Limited INITIAL OFFER FOR NEWFUNDS ILBI ETF PARTICIPATORY INTERESTS ("NEWFUNDS SECURITIES") REFERENCING THE TOTAL RETURN VERSION OF THE BARCLAYS CAPITAL/ABSA CAPITAL SOUTH AFRICAN GOVERNMENT INFLATION-LINKED BOND INDEX ("ILBI INDEX"), TO BE LISTED, SUBJECT TO JSE LIMITED ("JSE") APPROVAL, ON THE MAIN BOARD OF THE JSE IN THE "EXCHANGE TRADED FUNDS" SUB-SECTOR OF THE EXCHANGE TRADED PRODUCTS SECTOR This announcement is issued in compliance with section 19.60 of the JSE Listings Requirements for information purposes only. The information set out below has been extracted from the NewFunds Offering Circular (dated 3 September 2007), together with the Applicable Portfolio Supplement, to be issued on 12 January 2012 (the "APS")(collectively, the "circulars"), which are available as set out below. 1. INTRODUCTION NewFunds is a collective investment scheme in securities. The securities in the NewFunds ILBI ETF will track the price and yield performance of the ILBI Index, a total return index tracking the performance of bonds issued by the South African Government which are linked to the Consumer Price Index. This will be achieved by: - the issue in ZAR of NewFunds securities in dematerialised form on the terms and subject to the conditions set out in the circulars, the value of each of which will be approximately equal to one-tenth of the ILBI Index level during the ramp-up period; and - utilising the cash proceeds from the Initial Offer to acquire the Constituent Securities (as such term is defined in the APS), which once acquired will be held by the trustee, The Standard Bank of South Africa Limited, provided that if cash subscriptions are insufficient to enable the purchase of one or more entire baskets of Constituent Securities, the balance of the money paid on application will be returned, subject to the terms set out in the APS; - permitting in specie subscriptions by the delivery of a full basket of Constituent Securities per Block (comprising 1 million NewFunds securities); - allowing the holders of NewFunds securities, post listing on the JSE, to either trade them through the JSE on the secondary market or redeem them in entire blocks; - effecting notional monthly distributions of all income derived from the Constituent Securities to holders of NewFunds securities and thereafter reinvesting all such income on securities holders` behalf into the portfolio by the purchase of additional Constituent Securities , in line with the ILBI Index methodology. 2. SALIENT DATES AND TIMES AND FURTHER ANNOUNCEMENT The Initial Offer will be open from 09:00 until 12:00 on Thursday, 12 January 2012. Letters of Allotment (ZAU000012130) will be issued to successful applicants on Friday, 13 January 2012 and will convert to NewFunds securities, which will, subject to JSE approval, be listed on the JSE from commencement of trading on Thursday, 26 January 2012. A further announcement containing the results of the Initial Offer, including the offer price per NewFunds security, will be published on SENS on Wednesday, 18 January 2012. 3. NOTICE The ILBI Index is a trademark of Barclays Bank Plc ("Barclays") and is used by the NewFunds ILBI ETF under licence. Barclays compiles, maintains and owns rights in and to the ILBI Index. ILBI Participatory Interests are not sponsored, endorsed, sold or promoted by Barclays and Barclays makes no representation regarding the advisability of investment in ILBI Participatory Interests or the use of the ILBI Index or anydata included therein. Barclays Capital is the investment banking division of Barclays. With a distinctive business model, Barclays Capital provides corporates, financial institutions, governments and supranational organisations with solutions to their financing and risk management needs. 4. AVAILABILITY OF DOCUMENTATION Copies of the circular, in English, may be obtained during normal business hours from Absa Capital, Investments, 15 Alice Lane, Sandton (+27 11 895 5517) or on the website (www.newfunds.co.za). Johannesburg 12 January 2012 Originator, issuer agent, corporate advisor and sponsor Absa Capital (the investment banking division of Absa Bank Limited, affiliated with Barclays Capital) Legal Adviser Webber Wentzel Date: 12/01/2012 07:41:00 Supplied by www.sharenet.co.za Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.

Share This Story