- Introduction
- The board of directors (the “Board”) of the Company refers to the Notice of Extraordinary General Meeting dated
July 13, 2023 (the “Notice”) and the extraordinary general meeting of the shareholders of the Company (the “Shareholders”) convened onAugust 10, 2023 (the “EGM”) where the special resolution in relation to the Proposed Capital Reduction (as defined in the Notice) and the Proposed Cash Distributions (as defined in the Notice) was duly passed by the Shareholders during the EGM. - Unless otherwise defined, all capitalised terms and references used herein shall bear the same meaning ascribed to them in the Notice.
- The board of directors (the “Board”) of the Company refers to the Notice of Extraordinary General Meeting dated
- Effective Date of Capital Reduction
- The Board wishes to inform Shareholders that the Company has lodged the relevant documents required under Sections 78E(2)(c) and (d) of the Companies Act with ACRA on
September 29, 2023 . With the lodgement of the aforesaid documents, the Proposed Capital Reduction will take effect as ofSeptember 29, 2023 . - Pursuant to the Proposed Capital Reduction, the fully paid-up share capital of the Company will be reduced by
USD 32.44 million (being an amount within the maximum Reduction Amount ofUSD 45.00 million as set out in paragraph 2.1(a) of the Notice). Based on the fully paid-up share capital of the Company as at the date hereof, the fully paid-up share capital of the Company will be reduced fromUSD 320.68 million toUSD 288.24 million . - Accordingly, an amount of
USD 32.44 million will be distributed to Entitled Shareholders (as defined below).
- The Board wishes to inform Shareholders that the Company has lodged the relevant documents required under Sections 78E(2)(c) and (d) of the Companies Act with ACRA on
- Notice of Record Date and Cash Distribution In Two Tranches
- The Company will reduce the share capital and distribute cash in two tranches; the first distribution of
$1.01598 per ordinary share, payable on or aboutOctober 26, 2023 and the second distribution of$0.63193 per ordinary share, payable on or aboutDecember 11, 2023 , to all shareholders of record as ofOctober 20, 2023 (the “Record Date”). As ofSeptember 29, 2023 , there are 19,472,008 common shares of the Company outstanding. As at record date ofOctober 20, 2023 , the number of common shares of the Company will be increased to 19,685,590, including the consideration shares to be issued for the previously announced purchase of the shares ofTaylor Maritime Management Limited andTamar Ship Management Limited . These agreements are subject to customary closing conditions with an estimated closing date ofOctober 3, 2023 . We can provide no assurance that we will complete the acquisition until such time that the agreements have been executed and implemented. - In view of the Record Date of
October 20, 2023 , shareholders may not reposition shares between the JSE and theU.S. Register during the period fromOctober 18, 2023 , untilOctober 20, 2023 . - The capital distribution to be distributed by the Company is regarded as a “capital distribution” and is not subject to any tax in
Singapore .
- The Company will reduce the share capital and distribute cash in two tranches; the first distribution of
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act 1995 with respect to Grindrod Shipping’s financial condition, results of operations, cash flows, business strategies, operating efficiencies, competitive position, growth opportunities, plans and objectives of management, and other matters. These forward-looking statements, including, among others, those relating to our future business prospects, revenues and income, are necessarily estimates and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Accordingly, these forward-looking statements should be considered in light of various important factors, including those set forth below. Words such as “may,” “expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,” “estimates,” and variations of such words and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by
Company Contact: | Investor Relations: |
CEO Email: ir@grindrodshipping.com Website: www.grinshipping.com | Email: ir@grindrodshipping.com |
Source:
2023 GlobeNewswire, Inc., source