CONSOLIDATED INFRASTRUCTURE GRP LTD - General Issue of Shares for Cash

General Issue of Shares for Cash

Consolidated Infrastructure Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 2007/004935/06)
JSE share code: CIL ISIN: ZAE000153888
(“CIG” or the company”)


GENERAL ISSUE OF SHARES FOR CASH


Introduction

CIG shareholders are advised that CIG has issued a total of 15 million shares for cash (“cash issue”),
representing 12.6% of the issued share capital of CIG, in terms of a general authority to issue shares for cash
granted at the company’s annual general meeting which was held on 15 April 2013.

Consideration and number of shares issued in terms of the cash issue

In total 15 million shares were issued at a price of R17.20 per share (an 8% discount to the 30 day volume
weighted average traded price of the company’s shares to 26 April 2013, being the date the issue was agreed
between the company and subscribers).

A total cash amount of R258 million has been raised in terms of the cash issue and the new CIG shares issued
rank pari passu with the existing shares in issue.

The new CIG shares were placed with public shareholders, as defined in paragraphs 4.25 and 4.26 of the JSE
Limited Listings Requirements.

Application of proceeds of the cash issue

The majority of the proceeds will, subject to final regulatory approvals, be utilised to settle CIG’s liability in
respect of the 30.5% share acquired in Angola Environmental Serviços Limitada (“AES”), an Angolan based
company providing waste management services to the oil and gas sector, which was announced over SENS on
3 December 2012.

Financial effects of the cash issue

The table below sets out the unaudited pro forma financial effects of the cash issue based on CIG’s unaudited
consolidated statement of comprehensive income for the 6 months ended 28 February 2013 and CIG’s
unaudited consolidated statement of financial position as at 28 February 2013. These financial effects are the
responsibility of the directors of CIG and they have been prepared for illustrative purposes only, in order to
provide information about the financial results and the financial position of CIG assuming that the issue of
shares had been implemented on 1 September 2012 and 28 February 2013, respectively.

Due to their nature the unaudited pro forma financial effects may not give a fair reflection of CIG’s financial
position, changes in equity, results of operations and cash flows subsequent to the cash issue. The unaudited pro
forma financial effects have not been reviewed or reported on by the independent reporting accountants or
external auditors.

The unaudited pro forma financial effects have been prepared in accordance with the accounting policies of the
CIG group that were used in the preparation of the results for the 6 months ended 28 February 2013.
                                                                                                                 
The table below reflects the unaudited pro forma financial effects of the cash issue on a CIG shareholder.

                                               Before the cash    After the cash issue       Change (%)
                                                         issue

Earnings per share (cents)                                 59.0                    59.6                0.9
Diluted earnings per share (cents)                         58.1                    58.7                1.0
Headline earnings per share (cents)                        59.0                    59.5                0.9
Diluted headline earnings per share                        58.1                    58.7                1.0
(cents)
Net asset value per share (cents)                        1 025                   1 103                   8
Net tangible asset value per share (cents)                 610                     735                  20
Weighted average number of shares in                   118 841                 126 279                   6
issue (000’s)
Diluted weighted average number of                     120 748                 128 186                   6
shares in issue (000’s)
Number of shares in issue (000’s)                      118 841                 133 841                  13


Notes and assumptions:
1.    The figures set out in the “Before the cash issue” column above have been extracted, without adjustment,
      from the unaudited consolidated statement of comprehensive income for the 6 months ended 28 February
      2013 and the unaudited consolidated statement of financial position as at 28 February 2013.
2.    The cash issue is assumed to have been implemented on 1 September 2012 for statement of
      comprehensive income purposes and on 28 February 2013 for statement of financial position purposes.
3.    15 million shares have been issued in terms of the cash issue thereby raising R258 million.
4.    It has been assumed that the net proceeds of the cash issue have been used to settle third party interest
      bearing liabilities.
5.    A saving in interest paid is assumed to result from the repayment of approximately R258 million of
      interesting-bearing liabilities. A cost of debt of 6%, being the historical interest rate on the liabilities
      which are assumed to be repaid, is assumed to apply throughout the 6 months ended 28 February 2013.
6.    All statement of comprehensive income adjustments have a continuing effect.


9 May 2013


Sponsor
Javacapital

Date: 09/05/2013 08:30:00 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.