The BBBE Offer
The BBBEE offer
GPI shareholders are referred to the circular to shareholders dated 10 July 2006 (“circular”) which relates to, inter alia, a broad-based black economic empowerment transaction (“BBBEE Transaction”) in terms whereof GPI shareholders who are either “black persons” or “black enterprises” (as defined in the circular), are invited to take up participatory units in the GPI BBBEE Trust (“Offer”), and subsequent press announcements.
Litigation by Sancino Projects Limited and Blue Bay Partners (Pty) Ltd
Shareholders of GPI were advised in a news report dated 11 August 2006 and on GPI’s website that Sancino Projects Limited (“Sancino”), a shareholder of GPI, who was later joined by Blue Bay Partners (Proprietary) Limited (“Blue Bay”), instituted urgent proceedings against GPI in the Cape High Court, inter alia, to interdict the voting at the shareholders meeting of 30 July 2006 and the implementation of the Offer pending the hearing of an application in terms of section 252 of the Companies Act, No 61 of 1973 to challenge the BBBEE Transaction and GPI’s acquisition of further interests in Sunwest International (Proprietary) Limited (“Section 252 Application”). At the time GPI agreed with Sancino and Blue Bay that the meeting would proceed but that the Offer will not be implemented pending the hearing of the Section 252 Application.
Sancino has since issued its Section 252 Application, and it has been agreed that the matter will be heard in the Cape High Court on 6 March 2007.
Blue Bay has since withdrawn all litigation against GPI.
GPI is opposing Sancino’s Section 252 Application, which it regards as spurious and the directors are confident that GPI will be successful in doing so.
Extension of Offer Period
Qualifying GPI shareholders are advised that, in light of the pending litigation with Sancino, the GPI BBBEE Trust trustees, in consultation with GPI, extended the closing date of the Offer to 17h00 on Friday, 30 March 2007, to allow a sufficient time for the Section 252 Application to be heard and for the Offer to be closed and implemented thereafter.
Procedure to be followed
The GPI BBBEE Trust and GPI have decided that it would be prudent to allow qualifying GPI shareholders who accepted the Offer, to withdraw their acceptances of the Offer should they wish to do so.
Should you wish to withdraw your acceptance of the Offer, kindly complete the enclosed document and return it to the offices of GPI at 6th Floor, Thomas Patullo Building, 19 Jan Smuts Street, Foreshore, Cape Town. Your application money, together with interest earned thereon from the later of 8 September 2006 or the date upon which your application money was received, calculated at a rate of 5.5%, nominal annual compounded annually, will be returned to you as soon as possible thereafter.
Statement by board of directors of Grand Parade Investments Limited (GPI) regarding the planned listing of GPI on the JSE – 2006/11/02
The Board of Directors of GPI has reviewed the joint announcement by Cape Employment Trust (CET) and Dynamic Cables RSA Limited (Dynamic) dated 1st November 2006 as far as it relates to GPI.