FRT - Faritec - Update to shareholders and suspension of securities

FRT - Faritec - Update to shareholders and suspension of securities             
Faritec Holdings Limited                                                        
(Registration number 1998/004872/06)                                            
Share code: FRT                                                                 
ISIN: ZAE000016838                                                              
("Faritec" or "the Company")                                                    
UPDATE TO SHAREHOLDERS AND SUSPENSION OF SECURITIES                             
UPDATE TO SHAREHOLDERS                                                          
Shareholders are referred to the previous cautionary announcements (the last of 
which was dated 26 April 2010) in relation to the steps that Faritec is taking  
to address its current financial difficulties, including:                       
-    the proposed scheme of arrangement with the unsecured creditors of the     
    Faritec group;                                                              
-    the discussions with a management consortium and Tabara Investments (Pty)  
    Ltd to raise R30 million in capital; and                                    
-    the disposal of certain assets that have been identified as non-core to    
    Faritec`s operations.                                                       
Shareholders are advised that, as part of the steps detailed above, Faritec has 
disposed of its Microsoft Large Account Reseller Business to First Technology   
(Pty) Ltd with effect from 21 April 2010 for a cash consideration of R2.2       
million.                                                                        
Faritec has also received various offers to acquire its managed services        
business. The offers include an offer from Peter Winn, a former director, to    
acquire the business for a cash consideration of R3.1 million.  Any disposal of 
the business to Peter Winn would constitute a related party transaction and     
would be conditional on the requisite shareholder approval or receipt of a      
dispensation from the JSE from the requirement to obtain shareholder approval in
terms of schedule 13 of the JSE Listings Requirements.  Faritec is considering  
but has not yet accepted any of the offers.                                     
Despite the various steps been taken by Faritec the Company`s working capital is
under pressure and Faritec remains in a precarious financial position.          
SUSPENSION OF SECURITIES                                                        
Given that Faritec is engaging with a number of parties in relation to the      
various steps been taken by it and given that the situation is constantly       
evolving, the board of Faritec is concerned that it may not be in a position to 
ensure the confidentiality of unpublished price sensitive development or to     
ensure that the market is adequately and timeously informed of any and all price
sensitive developments as these occur. These concerns are exacerbated by the    
fact that it appears that confidential information is being leaked from within  
Faritec to one or more financial publications.                                  
In the circumstances the JSE has, at the request of the board of directors      
suspended the trading of Faritec shares with immediate effect. Faritec will take
all steps available to it to ensure that trading in Faritec`s shares resumes as 
soon as possible.  In the opinion of the board the suspension should be lifted  
as soon as Faritec is able to provide shareholders with a greater degree of     
certainty as to the outcome of the current steps being taken to address         
Faritec`s financial difficulties.  The board envisages that it should have      
greater clarity in this regard within the next two weeks.                       
30 April 2010                                                                   
Sponsor                                                                         
Java Capital (Proprietary) Limited                                              
Date: 30/04/2010 09:21:01 Supplied by www.sharenet.co.za                     
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