REINET INVESTMENTS S.C.A - Exchange rate applicable for dividend payable in respect of DRs

Exchange rate applicable for dividend payable in respect of DRs

Reinet Investments S.C.A. ('Reinet')
To holders of depository receipts issued by Reinet Securities SA, in respect of Reinet Investments S.C.A. ordinary shares ('DRs') traded on the Johannesburg Stock Exchange under the ISIN number CH0045793657
Depository Receipt Code: REI

REINET SECURITIES SA – EXCHANGE RATE APPLICABLE FOR DIVIDEND PAYABLE IN RESPECT OF DRs

The dividend payable to holders of DRs is derived from the dividend to be paid by Reinet to holders of Reinet shares.

The dividend in respect of the DRs is payable to South African Common Monetary Area residents in South African rand via central security depository participants in Strate for all dematerialised holdings and Computershare Investor Services (Pty) Limited for those on the certificated register.

Reinet has recommended a total dividend of EUR 0.161 per share from income reserves. It is anticipated that this dividend will be approved by shareholders of Reinet at the annual general meeting to be held on Tuesday 30 August 2016 in Luxembourg.

There is no Luxembourg withholding tax payable on dividends which may be declared by Reinet.

In 2013 Reinet sought clarification from the South African Revenue Service ('SARS') as to the treatment of any dividends to be declared by Reinet and paid to holders of DRs. SARS confirmed to Reinet that any such dividends would be treated as 'foreign dividends' as defined in the Income Tax Act No. 58 of 1962. Accordingly, any such dividends would be subject to South African dividend withholding tax at 15 per cent in the hands of DR holders unless those DR holders are otherwise exempt from the tax. Non-resident holders of DRs are required to fill in the appropriate SARS declaration form, if they wish to be exempted from the tax.

As DRs trade in the ratio of 10 DRs to each Reinet ordinary share, the dividend entitlement per DR is as follows:

               Gross dividend    South African     Net dividend in
               per DR            dividend Tax      euros
               in euros          at 15%

               0.016100          (0.002415)        0.013685


The exchange rate applicable for the conversion of euro to South African rand for payment of the dividend is ZAR 16.15050 : Euro 1. Accordingly the net dividend payable per DR is 22.10196 ZAR cents, as set out in the table below:

                  Gross dividend     South African  Net dividend
                  per DR             dividend tax   per DR
                  (in ZAR cents)     at 15%         (in ZAR cents)
                                     (in ZAR cents)

Total             26.00231           (3.90035)      22.10196

The timetable for the dividend in respect of the DRs is anticipated to be as follows: 

Last date to trade "cum dividend"      Tuesday, 6 September 2016

Trading commences "ex-dividend" from
the commencement of business on        Wednesday, 7 September 2016

DR dividend record date                Friday, 9 September 2016

DR dividend payment date               Friday, 16 September 2016

DR holders may not dematerialise or rematerialise their holding of DRs between Wednesday, 7 September 2016 and Friday, 9 September 2016, both days inclusive.

DRs are issued subject to the terms of the Deposit Agreement entered into on 17 October 2008, most recently amended on 15 December 2010. By holding DRs, investors acknowledge that they are bound by the terms of the Deposit Agreement. Copies of the Deposit Agreement may be obtained by investors from Reinet Securities SA or Computershare Investor Services Proprietary Limited.

Reinet Securities SA may appoint a depository agent or other parties to assist in the administration of the DR programme and may provide to such agents such information as it deems to be appropriate, including information relating to the identity of holders of DRs.


30 August 2016

Merchant bank and sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)

Date: 30/08/2016 10:50:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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