/ 1 June 2005

HIC increases stake in Johnnic to 40%

Listed investment holding group Hosken Consolidated Investments (HCI) has increased its holding to approximately 40% in Johnnic Holdings following the latest acquisition of an additional 16,5-million shares in the company.

HCI said in a statement on Friday that it had paid 975 cents per share for the additional stake. Earlier this month, Johnnic announced that the investment company owned about 30% in the hotels and gaming company while Gold Reef Casino Resorts’ stake is around 10%.

“As HCI is now the holder of more than 35% of the issued share capital of Johnnic, in terms of the Securities Regulation Code on Take-Overs and Mergers and the Rules of the Securities Regulation Panel, a mandatory offer must be extended by HCI to Johnnic shareholders, other than HCI, to acquire the remainder of the Johnnic shares,” the statement said.

The group, whose portfolio includes free-to-air channel e-TV, added that it had received irrevocable commitments from 51% of its shareholders to approve the acquisitions.

“HCI considers the acquisition to be opportune as it furthers HCI’s ongoing gaming strategies,” e-TV and Mettle parent company added. -I-Net Bridge