enX Group’s R5.00 Special Distribution: A Boost for Shareholders

  • enX Group Limited declares special distribution of R5.00 per share to shareholders.
  • Distribution deemed dividend, subject to 20% withholding tax for non-exempt shareholders.
  • Dates for trading, record date, and distribution payment outlined.

enX Group Limited has announced a special distribution of R5.00 per share to its shareholders. This distribution follows the successful divestment of Eqstra Investments Holdings Proprietary Limited, resulting in a net amount of ZAR 990,500,000.

Tax Implications and Withholding

The distribution, considered a dividend for tax purposes, will be subject to a 20% withholding tax for shareholders not exempt from such taxes. This withholding tax reduces the net special distribution to R4.00 per share for applicable shareholders.

Timeline and Important Dates

Here are the key dates related to the distribution process:

EventDate
Declaration date announcement on SENSThursday, 13 June 2024
Finalization date announcement on SENSMonday, 01 July 2024
Last day to trade for entitlementTuesday, 09 July 2024
Trading ex-entitlement dateWednesday, 10 July 2024
Record date for receipt of distributionFriday, 12 July 2024
Distribution payment to shareholdersMonday, 15 July 2024

What Shareholders Need to Know

Shareholders of enX Group Limited should take note of the upcoming dates to ensure they receive the special distribution. It’s crucial to be aware of the tax implications, especially the 20% withholding tax for non-exempt shareholders.

Potential Impact on Shareholders

The special distribution represents a significant return to shareholders and reflects enX’s commitment to rewarding its investors. Shareholders can expect a net special distribution of R4.00 per share after tax deductions.

Regulatory Compliance

enX has applied to the exchange control division of the South African Reserve Bank for approval of the distribution. Shareholders can expect further communication regarding the finalization and payment process once approval is received.

Conclusion

enX Group Limited’s declaration of a special distribution of R5.00 per share underscores its financial strength and commitment to delivering value to shareholders. The outlined timeline and tax considerations provide clarity for shareholders as they navigate this distribution.