Innscor's empowerment plan approved

Published: 24 January 2014

Innscor Africa Limited's shareholders approved the company's Indigenisation Implementation Plan at an EGM held earlier today.

Group Chief Executive John Koumides told the meeting that in order for the firm to meet the requirements of the Indigenisation and Economic Empowerment legislation, discussions were held with the Ministry of Indigenisation and Economic Empowerment and an Indigenisation Implementation Plan was approved by the National Indigenisation and Economic Empowerment Board.

He indicated that the plan will result in two share option agreements being entered into by the company. The first agreement will be with an indigenous company, Benvenue Investments headed by politician and Member of Parliament, Ray Kaukonde for 50 million Innscor ordinary shares.

Koumides explained that the firm chose Kaukonde as an empowerment partner because they have established "a tremendous business and director relationship with him."

The second agreement will be with the Innscor Africa limited Employee Share Trust for 30 million Innscor ordinary shares. Collectively full implementation of the options would result in the issuance of 80 million new Innscor ordinary shares, representing 12.87% of the enlarged share capital of the Company.

Special resolutions1, 2, 3, 5 and 6 which are reservation of shares for Benvenue Investments; waiver of pre-emptive rights in respect of shares for Benvenue Investment; reservation of shares for the Innscor Africa Limited Employee Share Trust; increase in authorised share capital; and adopting the terms and conditions of the non-voting class "A" ordinary shares were each approved with a percentage of 97.01% votes for.

Meanwhile special resolution 4, waiver of pre-emptive rights in respect of Shares for the Innscor Africa Limited Employee Share Trust was passed with a percentage of 97.76%.
- zfn

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