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PURPLE GROUP LIMITED - Trading statement and capital distribution out of share premium in lieu of dividend

Release Date: 04/11/2014 17:15
Code(s): PPE     PDF:  
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Trading statement and capital distribution out of share premium in lieu of dividend

Purple Group Limited
(Formerly Purple Capital Limited)
(Incorporated in the Republic of South Africa)
(Registration number 1998/013637/06)
Share code: PPE ISIN: ZAE000185526
(“Purple Group” or “the Company”)

Trading Statement and Capital Distribution out of share premium in lieu of dividend

Trading Statement
Purple Group’s core derivatives trading and asset management businesses generated an EBITDA of R20.8
million for the year ended 31 August 2014, a 56% increase over the prior year.

As announced on SENS on 21 August 2014, the Company’s indirect investment in Real People Investment
Holdings (Pty) Limited, has been written down by R26.3 million (net of tax), to zero.

In accordance with paragraph 3.4(b) of the JSE Limited’s Listings Requirements, shareholders are advised
that Purple Group is expecting a decrease of 846% in basic earnings per share from a basic profit per share
of 0.28 cents to a basic loss per share of 2.09 cents and an 11% decrease in headline loss per share from
2.25 cents to 2.01 cents per share, in comparison to the previous corresponding 12 month period.

The financial information on which this trading statement is based has not been reviewed or reported on
by Purple Group`s auditors.

The Company’s annual results for the twelve months ended 31 August 2014 are expected to be published
on SENS on or about 7 November 2014.

Capital distribution
The board of directors of Purple Group have approved an R8.2 million capital distribution out of share
premium, by way of a reduction of Contributed Tax Capital of 1 cent per share, in lieu of a dividend, on the
ordinary shares of the Company in respect of the year ended 31 August 2014, to Purple Group
shareholders recorded in the register on Friday 28 November 2014 (“the Distribution”).

The directors have determined that the capital distribution shall be paid out of qualifying contributed tax
capital as contemplated in the definition of “contributed tax capital” in section 1 of the Income Tax Act,
1962.

In accordance with the settlement procedures of Strate, the Company has determined the following salient
dates for the payment of the Distribution:
Last day to trade cum the capital distribution                 Friday, 21 November 2014
Shares commence trading ex the capital distribution            Monday, 24 November 2014
Record date                                                    Friday, 28 November 2014
Payment of capital distribution                                Monday, 1 December 2014

Share certificates may not be dematerialised/rematerialised between Monday, 24 November 2014 and
Friday, 28 November 2014, both days inclusive.

Relative to this Distribution, the directors have confirmed that the Company will satisfy the solvency and
liquidity test immediately after completing the Distribution.
For income tax purposes, shareholders are advised that the Distribution will be paid out of qualifying
contributed tax capital as contemplated in the definition of “contributed tax capital” in section 1 of the
Income Tax Act, 1962, and as it will be regarded as a return of capital, consideration should be given to the
potential capital gains tax consequences. Purple Group shareholders are, therefore, advised to consult
their tax advisors with regard to how they may be impacted by the Distribution.

Johannesburg
4 November 2014
Sponsor
Deloitte & Touche Sponsor Services Proprietary Limited

Date: 04/11/2014 05:15:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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