Sasol Limited · JSE:SOL
Sasol — Merger or Acquisition (March 2008)
15 slides from Sasol's merger presentation, Mar 25, 2008
Slide 1: Sasol Inzalo: a new beginning
Sasol Inzalo “a new beginning” Sasol Limited Analyst and Investor conference call 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: Contents
Sasol Inzalo contents background & introduction transaction structure & summary financing principles & Sasol facilitation financial effects next steps 3
Slide 4: Strategic focus driving empowerment
Sasol’s strategic focus driving empowerment grow CTL & grow CTL GTL & GTL grow growth drivers chemicals develop and deliver on nurture and (based on our commercialise empower our SA grow our technology or technological people transformation existing feedstock lead to deliver agenda asset base advant
Slide 5: Making strides in transformation
Sasol Inzalo Making strides in transformation concluded at least four BEE transactions at various business units Liquid fuels charter & Petroleum Products Act (Tshwarisano) Mining charter (Igoda Coal and Ixia Coal) other transactions (Spring Lights Gas, ChemCity) procurement from BEE suppliers reach
Slide 6: 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 7: Four beneficiary groups - structured to be broad-based
Sasol Inzalo four beneficiary groups - structured to be broad-based Sasol employees Selected Beneficiaries Black public Sasol black managers Participants 100% 100% 100% Sasol Inzalo Sasol Inzalo Groups Limited Public Limited 100% 100% 100% 100% Sasol Inzalo Employee Sasol Inzalo Sasol Inzalo Scheme
Slide 8: 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 9: Financing by mixture of external funding and Sasol facilitation
financing by mixture of external funding and Sasol facilitation issue price 60 day volume weighted average price (VWAP) ESOP and Sasol Foundation (5,5%) notional vendor funding – Sasol facilitation, no equity contributions, share issue at nominal value with repurchase right employees to receive 50%
Slide 10: Sasol is providing significant facilitation
Sasol is providing significant facilitation ESOP & Sasol Foundation Sasol fully facilitates acquisition of the Sasol ordinary shares funding companies Sasol provides guarantee (C Preference shares) Sasol will subscribe for D Preference Shares to fund the shortfall between total funding required and
Slide 11: Sasol will facilitate 77% of the transaction
Sasol will facilitate 77% of the transaction - funding requirement at issue price of R366 Black Black Selected R million ESOP * Foundation * Participants Public Public Total (Cash) (Funded) Sasol ordinary shares 9 235 3 463 - - - 12 698 Sasol BEE ordinary shares - - - 1 039 - 1039 Sasol preferred or
Slide 12: Financial impact of Sasol facilitation limited to mainly non-cash charges
financial impact of Sasol facilitation is limited to mainly non-cash charges approximately R 7,1 billion transaction cost equates to ~2,8% of Sasol’s market capitalisation is based on the issue price, closing price on 18 March 2008 and prevailing market conditions the IFRS2 share-based payment charg
Slide 13: Financial effects are limited mainly to non-cash charges
financial effects are limited mainly to non-cash charges - issue price R366, spot price R410 % % change Before After Cents change annualised Earnings per share 1 505 943 (37,3) (21,2) Attributable earnings per share (excluding the share-based payment 1 505 1 484 (1,4) (0,8) charge) Diluted earnings
Slide 14: Sasol Inzalo – delivering sustainable value to stakeholders
Sasol Inzalo – delivering sustainable value to stakeholders transaction issue price considered fair given the 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 impac
Slide 15: Next steps: anticipate closing within the current financial year
anticipate closing the transaction within the current financial year shareholder circular 21 April providing further information regarding the Sasol Inzalo Transaction in preparation for the Shareholders’ meeting. shareholders meeting: 16 May Black Public invitation and share issue to employees: 22