/ 11 July 2005

Verimark debuts on JSE

Verimark Holdings (VMK) debuted on the JSE on Monday, opening with an inaugural trade of R3,05 and subsequently trading in a range of R2,99 to R3,01 per share in early dealings.

The company, which develops and retails a range of products including household goods, DIY, beauty and exercise equipment, was created following the takeover of Verimark by listed Creditvision, with Verimark reverse-listed into Creditvision and the merged group changing its name to Verimark Holdings.

With a share price of R3 and 114,27-million shares in issue, the company currently has a market capitalisation of about R342,8-million.

For the year to the end of February 2005, Creditvision reported turnover of R283,9-million, with an operating profit after tax of R27,6-million. For its 2006 financial year, Verimark is forecasting turnover of R333,75-million and after-tax operating profit totalling R38,6-million (on an annualised basis, assuming that the acquisition of Verimark is effective from March 1).

Headline earnings per share for 2005/06 are projected at 33,79 cents, while the dividend is estimated at 27 cents (annualised).

The new company’s largest shareholder is the Van Straaten family, holding 50-million shares or 43,8% of Verimark’s total issued shares. — I-Net Bridge