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Phuthuma Nathi Investments (RF) Limited
Integrated annual report 2018
Financial review
(continued)
Long-term liabilities
2018
R’000
2017
R’000
Variable rate, cumulative redeemable preference shares
with issue price of R10 each
135
135
Balance at 31 March
135
135
At 31 March 2018: 13 501 (2017: 13 501) preference
shares were in issue
Preference share liability reconciliation
Opening balance at 1 April
135
135
Closing balance at 31 March
135
135
In accordance with the preference share subscription agreement, these preference shares bore
interest at 75% of the prime rate, compounded monthly, until such a time that the preference
shares remaining are less than or equal to the preference threshold, which was reached at
3 September 2014. Once the threshold has been met, the preference shares do not bear interest.
Further to this, the term of the remaining preference shares was extended at the discretion of the
preference shareholders. These preference shares are held by MIH Holdings Proprietary Limited.
The carrying amount at amortised cost approximates the fair value of these instruments.
Notes to the summarised annual financial
statements
(continued)
the year ended 31 March