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DIA/DIB - Dipula - Financial effects relating to the acquisition of Bochum and

Release Date: 20/03/2012 16:52
Code(s): DIA DIB
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DIA/DIB - Dipula - Financial effects relating to the acquisition of Bochum and Blouberg Plaza and Nquthu Plaza and withdrawal of cautionary DIPULA INCOME FUND LIMITED (Incorporated in the Republic of South Africa (Registration number 2005/013963/06) JSE code for A-linked units: DIA ISIN for A-linked units: ZAE000158317 JSE code for B-linked units: DIB ISIN for B-linked units: ZAE000158325 ("Dipula" or "the company") FINANCIAL EFFECTS RELATING TO THE ACQUISITION OF BOCHUM AND BLOUBERG PLAZA AND NQUTHU PLAZA AND WITHDRAWAL OF CAUTIONARY INTRODUCTION Linked unitholders are referred to the announcement released on SENS on 20 December 2011 in which it was announced that Dipula had concluded agreements for the acquisition of Bochum and Blouberg Plaza and Nquthu Plaza ("the acquisition")for R247.8 million. The purpose of this announcement is to present the financial effects of the acquisition. UNAUDITED PRO FORMA FINANCIAL EFFECTS OF THE ACQUISITION The table below sets out the unaudited pro forma financial effects of the acquisition based on Dipula`s audited annual results for the year ended 31 August 2011. These financial effects are the responsibility of the directors of Dipula and they have been prepared for illustrative purposes only, in order to provide information about the results of Dipula only, assuming that the acquisition had been implemented on 1 September 2010 for purposes of statement of comprehensive income. Due to their nature, the unaudited pro forma financial effects may not fairly present Dipula`s results subsequent to the acquisition. This is particularly so, having regard to the fact that Dipula`s audited annual results for the year ended 31 August 2011 only contains one month of the company`s results post Dipula`s merger with Mergence Africa Property Fund. The unaudited pro forma financial effects have not been reviewed or reported on by independent reporting accountants. The unaudited pro forma financial effects have been prepared in accordance with the accounting policies of Dipula that were used in the preparation of the annual results for the year ended 31 August 2011. The financial information relating to the acquisition has been extracted from management accounts for the 12 month period to 31 August 2011. The management of Dipula are satisfied with the quality of the information contained in these management accounts. The effect of the acquisition on Dipula`s net asset value is immaterial and therefore has not been disclosed. The table below reflects the unaudited pro forma financial effects of the acquisition on loss and headline loss per linked unit: Before1 After Change (%) Basic loss per A- (560,60) (295,47) 47.3% linked unit (cents) Basic loss per B- (577,66) (310,90) 46.2% linked unit (cents) Headline loss per A- (595,26) (315,25) 47.0% linked unit (cents) Headline loss per B- (612,32) (330,68) 46.0% linked unit (cents) Notes and assumptions: 1. The figures set out in the "Before" column above have been extracted, without adjustment, from the audited annual results for the year ended 31 August 2011. 2. The acquisition is assumed to have been implemented on 1 September 2010 for earnings and headline earnings per linked unit purposes. 3. The purchase consideration is to be funded through R211.1 million of new debt facilities while the balance will be settled through the issue of Dipula A and B linked units. 4. Transaction costs are assumed to be approximately R4 million. WITHDRAWAL OF CAUTIONARY Dipula linked unitholders are referred to the cautionary announcement dated 20 December 2011 and are advised that following the release of the financial effects of the acquisition, caution is no longer required to be exercised by linked unitholders when dealing in their linked units. 20 March 2012 Corporate advisor and sponsor Java Capital Date: 20/03/2012 16:52:01 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.

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