|
The Boards of AfroCentric and AHL had approved an allocation of 7 million additional shares that was not originally stipulated in the 2008 Acquisition Agreement.
The issue of the share executive awards had no effect on the statement of cash flows.
The AfroCentric Investment Corporation Limited Group, of which the AHL Group is a subsidiary, has allocated share-based
awards to certain executive directors of the AHL Group as part of their remuneration package. The share awards are at an
AfroCentric Investment Corporation Limited Group level. The Group measures the fair value of the share awards or equity
instruments granted, in line with the Group’s accounting policy.
The granting of the share awards was based on job level, merit and performance and was entirely at the discretion of
executive management acting on the recommendations of the shareholders.
These shares awarded are additional shares allocated to the Executive Directors of AHL Group depending on the rules as
set out in the share awards agreement. The share price on 1 November 2013, which is grant date, was used to determine
the IFRS 2 charge for 2017. The number of shares awarded, i.e. 511 111 multiplied by the share price of R4.10 on grant date
resulted in a R2.1 million charge to the statement of comprehensive income. The remaining shares were awarded in the
period 1 November 2016.
| |
| |
June 2016
R’000 |
|
June 2016
R’000 |
|
| Executive awards |
7 000 |
|
7 000 |
|
805 |
|
805 |
|
| Movements in number of instruments: |
|
|
|
|
|
|
|
|
| Outstanding at the beginning of the year |
6 488 |
|
4 916 |
|
54 |
|
471 |
|
| Exercised |
(6 999) |
|
– |
|
(54) |
|
– |
|
| Vested |
511 |
|
1 572 |
|
– |
|
(417) |
|
| Active employees |
511 |
|
1 572 |
|
– |
|
(417) |
|
| |
|
|
|
|
|
|
|
|
| Outstanding at the end of the year |
– |
|
6 488 |
|
– |
|
54 |
|
|
|
|
|
|
In 2017 there were 511 111 shares that vested (2016: 1 571 795 shares). In 2017, 6 999 999 shares (2016: nil) were
exercised. The related weighted average share price at the time of exercise was R4.10 per share.
Shares were held by AfroCentric Management Services Proprietary Limited until such time that the pre-determined conditions
had been achieved over the period commencing 1 November 2013 and ending 1 November 2016.
AfroCentric has settled its obligation and the share-based payment reserve has been released. |