GLOBAL ASSET MANAGEMENT LIMITED - Cautionary announcement regarding a potential restructure and delisting of Global

Cautionary announcement regarding a potential restructure and delisting of Global

GLOBAL ASSET MANAGEMENT LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2002/003192/06)
Share Code: GAM ISIN: ZAE000173498
("Global" or “the Company”)


CAUTIONARY ANNOUNCEMENT REGARDING A POTENTIAL RESTRUCTURE AND DELISTING OF
GLOBAL


At the time of listing of the Company, the group had short, medium and long-term
objectives, with the main business being long term industrial asset finance which generated
the profits and cash flows for the group to invest in the development of various waste to
energy projects using proprietary technologies. During the past 6 years, the group secured
2 large institutional investors who bought into the vision of the energy initiatives.

To this end, the group has already established two pyrolysis plants to convert waste rubber
into oil and has run a successful pilot project to convert waste plastic into oil. Global has
recently acquired its own property and is relocating its manufacturing operations to the new
site. The group is now raising additional capital required for the completion of the
construction of the first fully fledged waste plastic to oil plant and it is expected that revenue
generation from this plant will commence in its financial year ending 30 November 2019. On
a recent roadshow by the executive to raise the additional equity, it has become clear that
there is significant interest from potential investors to invest in the energy business but the fit of
the asset finance business and/or reasons for being listed are questioned and represent a
serious obstacle to any investment decision.

The board of directors has taken note of this feedback and are reviewing the long-term
strategy of the group and have decided to consider the following:

-     The restructure of the energy assets under one holding company, with the current
      energy asset investors moving their respective shareholdings to this holding company
      and then securing additional investors to invest directly in this holding company;
-     The potential disposal of the asset finance business, which could represent a
      s112 disposal. This would generate additional cash for the group to support its waste to
      energy capabilities; and
-     To consider the delisting of Global, which would be accompanied by an offer to
      minority shareholders.

Accordingly, shareholders are advised to exercise caution in dealing in their securities until a
further announcement is made.

By order of the Board

Johannesburg
14 August 2018

Designated Advisor
Arbor Capital Sponsors Proprietary Limited

Date: 14/08/2018 04:13:00 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.