Sasol Limited · JSE:SOL
Sasol — Merger or Acquisition (March 2008)
22 slides from Sasol's merger presentation, Mar 25, 2008
Slide 1: Sasol Limited BEE Transaction Media Briefing
Sasol Limited BEE Transaction Media Briefing 25 March 2008
Slide 2: Forward-looking statements
forward-looking statements We may in this document make statements that are not historical facts and relate to analyses and other information based on forecasts of future results and estimates of amounts not yet determinable. These are forward-looking statements as defined in the U.S. Private Securi
Slide 3: Sasol's strategic focus driving empowerment
Sasol’s strategic focus driving empowerment grow CTL grow CTL & GTL & GTL drivers growthdrivers grow chemicals develop and (based on our deliver on nurture and commercialise empower our technology or SA grow our technological people growth feedstock transformation existing lead to deliver advantages
Slide 4: Sasol Inzalo: giving ordinary South Africans a share in a global opportunity
Sasol Inzalo: giving ordinary South Africans a share in a global opportunity creating a legacy & stakeholder value focus on skills development, capacity building and women will differentiate deal through the largest unparalleled in size and reach millions of ordinary South Africans benefit from loca
Slide 5: Making strides in transformation
Sasol Inzalo Making strides in transformation Concluded at least four BEE transactions at various business unit levels Liquid fuels charter (Tshwarisano) Mining charter (Igoda Coal and Ixia Coal) Other transactions (Spring Lights Gas, ChemCity) Procurement from BEE suppliers reached R2,2bn in 1h08 E
Slide 6: Inzalo is associated with birth, creation of life and new beginnings
Sasol Inzalo Inzalo is associated with birth, creation of life and new beginnings. Slide 6
Slide 7: Four beneficiary groups structured to be broad-based
Sasol Inzalo Four beneficiary groups structured to be broad-based Shares % of Sasol (million) Employee Share Ownership Schemes 4,0 25,2 Sasol Inzalo Foundation 1,5 9,5 Selected Participants 1,5 9,5 Black Public 3,0 18,9 Total 10,0 63,1 Slide 7
Slide 8: Employee Share Ownership Scheme
Sasol Inzalo Employee Share Ownership Scheme Broad-based Black Management Scheme Scheme Estimated No. of participants 24 571 235 Black 14 534 (59%) 235 (100%) White 10 037 (41%)* - Percentage participation in Sasol 3,7% 0,3% No. of shares allocated 23,3 million 1,9 million Share value R366 R8 542 mi
Slide 9: Sasol Inzalo Foundation - Our legacy
Sasol Inzalo Foundation - Our legacy The vision of the Sasol Inzalo Foundation is to be a significant contributor to sustainable economic growth in South Africa by focusing on skills development (primarily in mathematics and science), through: Alleviating schooling bottlenecks A Sasol Maths and Scie
Slide 10: Selected Participants: Focus on new BEE entrants
Sasol Inzalo Selected Participants Comprises 15% of the transaction (1,5% of Sasol) Public invitation followed by a private selection process Includes: Involved Groups (Suppliers, Customers, Franchisees & Unions) Broad-based Groups (entity with more than 20 shareholders / beneficiaries, supporting S
Slide 11: Selected Participants
Sasol Inzalo Selected Participants Approximately 1,1 million members and beneficiaries Indicative Category Number value (R million) Involved: Suppliers 17 Customers 12 Franchisees (and petrol pump attendants) 19 Unions 3 Sub Total 51 1 738 Broad Based: NGOs 11 Black women groups 6 Professional assoc
Slide 12: Black Public invitation – designed for inclusiveness
Sasol Inzalo Black Public invitation – designed for inclusiveness Reach as broad a base as possible Individuals and groups Accessible and affordable Priority given to women, ‘broad-basedness’ and high levels of black shareholding Ensure fair national distribution Allow liquidity within the transacti
Slide 13: Black Public – Funded invitation
Sasol Inzalo Black Public – Funded invitation 85% of Black Public scheme (approximately 16,1 million preferred ordinary shares) Minimum subscription and equity contribution required Individuals allocated 60% and groups 40% Bottom-up allocation at Sasol’s discretion Trading allowed after a minimum pe
Slide 14: Black Public – Cash invitation
Sasol Inzalo Black Public – Cash invitation 15% of the black public scheme (approximately 2.8 million BEE ordinary shares) Full cash scheme with minimum subscription Both individuals and groups eligible Minimum period before trading is two years Duration of scheme is 10 years with dividends from inc
Slide 15: Single largest broad-based transaction to date
Sasol Inzalo Single largest broad-based transaction to date Issue Price at Market Value % of Shares R366 (18/03/08) Sasol (million) (Rand billion) (Rand billion) Employee Share Ownership Schemes 4,0 25,2 9,2 10,3 Sasol Inzalo Foundation 1,5 9,5 3,5 3,9 Selected Participants 1,5 9,5 3,5 3,9 Black Pub
Slide 16: Sasol is providing significant facilitation
Sasol Inzalo Sasol is providing significant facilitation Sasol will facilitate close to 80% of the transaction (directly and indirectly) Sasol anticipates receiving more than R1,6bn in equity contributions Sasol will underwrite the subscription of the Selected Participants and Black Public Preferred
Slide 17: Sasol share price (JSE: SOL – Rand)
Sasol Inzalo 60-day average (VWAP) used to mitigate share price volatility 18 March ’08 430 R366 closing price Sasol share price (JSE: SOL – Rand) = R410 60 day VWAP 380 = R366 VWAP since first terms = R344 330 280 March 19, 2008 September 10, 2007 60 day VWAP is fair and contributes to long term tr
Slide 18: Financial effects are limited mainly to non-cash charges
Sasol Inzalo Financial effects are limited mainly to non-cash charges % % Change Cents Before After Change Annualised Earnings per share 1 505 943 (37,3) (21,2) Attributable earnings per share 1 505 1 484 (1,4) (0,8) (excluding the share-based payment charge) Net asset value per share 10 147 10 249
Slide 19: Delivering sustainable value to stakeholders
Sasol Inzalo Delivering sustainable value to stakeholders Issue price at 18 March 2008 considered fair given recent market volatility and the need to ensure a sustainable transaction Sasol’s facilitation is in line with market norms Excluding the non-cash share based payment charge, marginal impact
Slide 20: Next steps
Sasol Inzalo Next steps Shareholder circular 21 April 2008 Providing further information regarding the Sasol Inzalo Transaction in preparation for the shareholders’ meeting Shareholders meeting: 16 May 2008 Opening of Black Public invitation and share issue to employees: 22 May 2008 Sasol Inzalo clo
Slide 21: Delivering on our transformation commitments
Sasol Inzalo Delivering on our transformation commitments Sasol’s commitment to transformation goes beyond just equity ownership Great opportunity for wealth creation in a global company (local and international businesses) New entrants introduced to participate in BEE Strong focus and benefits for
Slide 22: Q&A
SasoL ; - Sasol Inzalo reaching new frontiers Q&A Slide 22