Update on investment in SA Water Works Holding Company Proprietary Limited
REX TRUEFORM GROUP LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1937/009839/06)
JSE share code: RTO ISIN: ZAE000250387
JSE share code: RTN ISIN: ZAE000250395
JSE share code: RTOP ISIN: ZAE000250403
UPDATE ON INVESTMENT IN SA WATER WORKS HOLDING COMPANY PROPRIETARY LIMITED
Shareholders are referred to the SENS announcement released by Rex Trueform on 28 September 2018 (the
"28 September announcement"), wherein Rex Trueform advised that it had, through its wholly-owned subsidiary,
Ombrecorp Trading (RF) Proprietary Limited ("Ombrecorp"), subscribed for 33.78% of the issued share capital
of SA Water Works Holding Company Proprietary Limited ("SAWW"). All conditions precedent to the agreement
as disclosed in the 28 September announcement have been fulfilled.
2. FURTHER FINANCIAL INFORMATION WITH REGARD TO THE 28 SEPTEMBER ANNOUNCEMENT
The 28 September announcement detailed the acquisition by SAWW, via its wholly-owned subsidiary SA Water
Works Proprietary Limited (the "SAWW subsidiary"), of 73.425% of the ordinary issued shares of Sembcorp Siza
Water (RF) Proprietary Limited ("Sembcorp Siza") (the "Sembcorp Siza acquisition") for a total acquisition
price of R121 980 444.
The profit after tax, total assets and net asset value of the company acquired by SAWW (via the SAWW subsidiary)
in terms of the Sembcorp Siza acquisition are R30 748 529, R177 851 080 and R111 980 067 respectively, based
on the audited financial statements of Sembcorp Siza for the financial year ended 31 December 2017, which
financial statements were prepared in accordance with International Financial Reporting Standards.
73.425% of the discounted free cash flow generated by the assets acquired by SAWW (via the SAWW subsidiary)
was valued at R95 000 000, based on a valuation performed by SAWW during September 2017, which valuation
was based on forecasts and the audited financial statements of Sembcorp Siza for the financial year ended
31 December 2016. The total purchase consideration of R 121 980 444 adjusts the valuation for the net cash as at
31 December 2017, an interest escalation amount and transaction costs.
24 January 2019
Date: 24/01/2019 05:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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