Source - RNS
RNS Number : 4560I
New Europe Property Investments PLC
31 August 2016
 

NEW EUROPE PROPERTY INVESTMENTS PLC

(Incorporated and registered in the Isle of Man with registered number 001211V) 

(Registered as an external company with limited liability under the laws of South Africa, registration number 2009/000025/10)

AIM share code: NEPI    JSE share code: NEP    BVB share code: NEP

ISIN:   IM00B23XCH02

("NEPI" or "the company")

 

 

NOTICE TO NEPI SHAREHOLDERS IN RESPECT OF AN ELECTION TO RECEIVE EITHER A CASH DIVIDEND OR A RETURN OF CAPITAL

 

 

CASH DIVIDEND OR RETURN OF CAPITAL

 

As announced on 10 August 2016, shareholders are advised that the board of directors ("the board") of the company has declared an interim distribution of 18.68 Euro cents per share in respect of the six months ended 30 June 2016, and that the board has resolved to offer shareholders the election to receive a return of capital by way of an issue of new NEPI shares ("return of capital") or a cash dividend.  The cash dividend will be paid to shareholders unless a shareholder elects to receive a return of capital. 

 

The number of new NEPI shares to which a shareholder is entitled in terms of the return of capital will be determined with reference to the ratio that the cash dividend of 18.68 Euro cents per share bears to the reference price, being up to a 5% discount to the five-day volume weighted average traded price (less the cash dividend) of NEPI shares on the JSE (converted to Euro for those shares held on the UK and Romanian registers), to be announced on Tuesday, 13 September 2016. 

 

The rationale for the return of capital is to afford shareholders the opportunity to increase their shareholding in NEPI and to retain flexibility with regard to the company's cash resources.

 

The cash dividend will be paid out of the company's distributable profits. The new NEPI shares to be issued pursuant to the return of capital are funded by way of a reduction of part of the company's share premium account by way of a reduction of capital.  

 

As at the date of this announcement, the company has 318 843 185 ordinary shares of €0.01 each in issue.

 

A circular to NEPI shareholders in respect of the election being offered to NEPI shareholders to receive either the cash dividend or the return of capital ("circular"), together with an election form, will be posted to shareholders today, 31 August 2016 and is available on the company's website at www.nepinvest.com.

 

SALIENT DATES AND TIMES      

 

For shareholders on the SA share register

 


2016

Announcement on SENS to NEPI shareholders in respect of an election to receive either a cash dividend or a return of capital and issue of dividend election circular

Wednesday, 31 August

Announcement on SENS of reference price, Rand exchange rate and return of capital ratio by 11:00 on

Tuesday, 13 September

Last day to trade in order to be eligible for the cash dividend or alternatively the return of capital on

Tuesday, 20 September

Shares commence trading ex the cash dividend or return of capital on

Wednesday, 21 September

Record date for shareholders recorded on the SA share register

Friday, 23 September

Closing date for receipt of completed election forms by no later than 12:00 on

Friday, 23 September

Announcement on SENS of the amount of new NEPI shares issued on

Friday, 30 September

Dispatch of share certificates, payment of cash dividend, CSDP/broker accounts credited/updated and new NEPI shares listed on the JSE on

Monday, 3 October

 

Notes:

1.          All dates and times quoted above are local dates and times in South Africa. The above dates and times are subject to change. Any changes will be released on SENS and published in the press in South Africa.

2.          Uncertificated shareholders should note that new NEPI shares should not be traded until the new NEPI shares are issued or reflect in their accounts with their CSDP or broker on Monday, 3 October 2016.

3.          Transfers of shares between sub-registers in the United Kingdom, South Africa and Romania may not take place between Tuesday, 13 September 2016 and Friday, 23 September 2016 both days inclusive.

4.          Share certificates may not be dematerialised or rematerialised between Wednesday, 21 September 2016 and Friday, 23 September 2016 both days inclusive.

5.          Shareholders on the SA share register will receive a cash dividend in South African Rand, based on the Rand exchange rate. An announcement in this respect will be made on Tuesday, 13 September 2016.

 

For shareholders on the UK share register

 


2016

Announcement on RNS to NEPI shareholders in respect of an election to receive either a cash dividend or a return of capital and issue of dividend election circular

Wednesday, 31 August

Announcement on RNS of reference price, Rand exchange rate and return of capital ratio on

Tuesday, 13 September

Last day to trade in order to be eligible for the cash dividend or alternatively the return of capital on

Wednesday, 21 September

Shares commence trading ex the cash dividend or return of capital on

Thursday, 22 September

Record date for shareholders recorded on the UK share register

Friday, 23 September

Closing date for receipt of completed election forms by no later than 12:00 on

Friday, 23 September

Announcement on RNS of the amount of new NEPI shares issued on

Friday, 30 September

Dispatch of share certificates, payment of cash dividend, CREST accounts credited/updated and new NEPI shares listed on AIM on

Monday, 3 October

 

Notes:

1.          All dates and times quoted above are local dates and times in the United Kingdom. The above dates and times are subject to change. Any changes will be released on RNS.

2.          Uncertificated shareholders should note that new NEPI shares should not be traded until the new NEPI shares are issued and reflect in their accounts with their CREST provider or broker.

3.          Transfers of shares between sub-registers in the United Kingdom, South Africa and Romania may not take place between Tuesday, 13 September 2016 and Friday, 23 September 2016 both days inclusive.

4.          Share certificates may not be dematerialised or rematerialised between Wednesday, 21 September 2016 and Friday, 23 September 2016 both days inclusive.

 

For shareholders registered in Romania

 


2016

Announcement on BVB to NEPI shareholders in respect of an election to receive either a cash dividend or a return of capital and issue of dividend election circular

Wednesday, 31 August

Announcement on BVB of reference price, Rand exchange rate and return of capital ratio on

Tuesday, 13 September

Last day to trade in order to be eligible for the cash dividend or alternatively the return of capital on

Wednesday, 21 September

Shares commence trading ex the cash dividend or return of capital on

Thursday, 22 September

Romanian record date

Friday, 23 September

Last date when the shareholders registered in Romania who/which elect to receive the return of capital should complete the election form and submit it to NEPI, this being the closing date for receipt of completed election forms by no later than 15:30 on

Friday, 23 September

Announcement on BVB of the amount of new NEPI shares issued on

Friday, 30 September

Payment of cash dividend and/or broker share accounts updated and new NEPI shares listed on BVB on

Monday, 3 October

 

Notes:

1.          All dates and times quoted above are local dates and times in Romania. The above dates and times are subject to change. Any changes will be released on the BVB.

2.          Uncertificated shareholders should note that new NEPI shares should not be traded until the new NEPI shares are issued and reflect in their accounts with their CSDP or broker.

3.          Transfer of shares between the sub-registers in the United Kingdom, South Africa and Romania may not take place between Tuesday, 13 September 2016 and Friday, 23 September 2016 both days inclusive.

4.          Share certificates may not be dematerialised or rematerialised between Wednesday, 21 September 2016 and Friday, 23 September 2016 both days inclusive.

 

TAX IMPLICATIONS

 

SA resident shareholders

The receipt of the cash dividend or election to receive the return of capital may have tax implications for shareholders.

 

For those South African resident shareholders receiving the cash dividend, such amount will be regarded as a foreign dividend and may be subject to South African dividends tax at a rate of 15%, unless an exemption as set out in the South African Income Tax legislation applies.

 

The receipt of new NEPI shares by South African resident shareholders should not be classified as a dividend or a foreign dividend for South African tax purposes and accordingly South African dividends withholding tax should not be levied on the new NEPI shares. However, the legislation in this regard is complex and its implementation is currently uncertain. Accordingly, shareholders should seek independent professional tax advice.

 

NEPI shareholders are advised to consult their professional advisors regarding the tax consequences of the cash dividend and the return of capital or should they be in any doubt as to the appropriate action to take.

 

The information provided above is only of direct application to shareholders on the South African share register.  The gross local dividend amount for shareholders exempt from paying South African dividends tax will be announced on Tuesday, 13 September 2016, being the date on which the exchange rate in respect of the interim dividend is announced.  The net local dividend amount for shareholders liable to pay the 15% South African dividends tax will also be announced on Tuesday, 13 September 2016. 

 

In terms of the JSE Listings Requirements regarding dividends withholding tax in South Africa, NEPI shareholders are advised that there is no withholding tax payable in the Isle of Man.

 

Shareholders residing outside South Africa

 

The receipt of the cash dividend or election to receive the return of capital may have tax implications for shareholders who are resident in the United Kingdom, Romania or other countries and such shareholders are advised to obtain appropriate advice from their professional advisors in this regard.

 

 

For further information please contact:

 

New Europe Property Investments plc


Mirela Covasa

+40 21 232 13 98



AIM Nominated Advisor and Broker


Smith & Williamson Corporate Finance Limited


Azhic Basirov / Katy Birkin

+44 20 7131 4000



JSE sponsor


Java Capital

+27 11 722 3050



BVB advisor


SSIF Intercapital Invest SA


Razvan Pasol

+40 21 222 8731

 

 

31 August 2016


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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