Glossary of terms

 
 
Throughout this annual report, the following terms shall have the meanings assigned to them below:  
Absa   Absa Group Limited  
Avusa   Avusa Limited  
Batho Bonke   Batho Bonke Capital (Proprietary) Limited  
BBBEE   Broad-based Black Economic Empowerment  
BEE   Black economic empowerment  
BEE codes   The Codes of Good Practice on Black Economic Empowerment, issued under section 9(1) of the Broad-based Black Economic Empowerment Act, as amended  
BEE options   The options attached to the BEE shares allowing each redeemable option-holding shareholder to subscribe for one Mvelaphanda Group ordinary share at a minimum subscription price of R9,18  
BEE shares   276 223 624 redeemable option-holding shares with a par value of 0,1 cent each in the share capital of Mvelaphanda Group which were allotted and issued on 19 June 2007 and 10 December 2010  
Companies Act   Companies Act No 71 of 2008, as amended  
Corporate governance or King III   South African Code of Corporate Practices and Conduct as recommended in the King III Report  
Effective interest method   The effective interest method is a method of calculating the amortised cost of a financial asset/liability and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts/payments (including all fees on points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial asset/liability, or, where appropriate, a shorter period  
GDP   Gross Domestic Product  
Group Five   Group Five Limited  
HDSA   Historically Disadvantaged South Africans  
IFRS   International Financial Reporting Standards  
Intrinsic net asset value   A measure of the value of the investment based on its assets less its liabilities  
JIBAR   Johannesburg Inter-bank Agreed Rate  
JSE   JSE Limited  
Life Healthcare   Life Healthcare Group Holdings (Proprietary) Limited  
Mvela Group shareholders’ equity   means, the consolidated shareholders’ equity (net of intangibles and goodwill) in respect of the Mvela Group as reflected in, and/or ascertained from, the most recent consolidated audited financial statements or unaudited consolidated interim financial statements or, to the extent that such financial statements are not available, the consolidated, unaudited management accounts of Mvela Group, as determined in accordance with IFRS  
Mvelaphanda Group or the Company   Mvelaphanda Group Limited  
Mvelaphanda Holdings   Mvelaphanda Holdings (Proprietary) Limited  
SENS   Securities Exchange News Service  
Stakeholders   Includes shareholders, employees, customers, suppliers and the government  
Strategic investments  

Amongst other, the Group’s principal strategic investments are:

  • Absa Group Limited
  • Group Five
  • Life Healthcare
  • Avusa
  • Vox Telecom
The board or ‘board’   The board of directors of Mvelaphanda Group Limited  
The Group or Mvela Group   Mvelaphanda Group and its subsidiaries, associates and investments  
Vox or Vox Telecom   Vox Telecom Limited  
   
FINANCIAL RATIOS    
Debt: equity ratio   Total interest-bearing borrowings/Total capital and reserves  
Diluted headline (loss)/earnings per share   Diluted headline (loss)/earnings/Weighted average number of shares in issue  
Earnings yield   Earnings per ordinary share/Ordinary share price at 30 June 2011  
Headline (loss)/earnings per share   Headline (loss)/earnings/Weighted average number of shares in issue  
Intrinsic net asset value per share   Intrinsic net asset value/ Diluted weighted average net number of ordinary shares in issue  
Gearing ratio   Mvela Group net equity value/Group indebtedness  
Return on net investments   Net (loss)/profit after taxation from investments/Average net investments  
Return on shareholders’ funds   Net (loss)/profit attributable to equity holders/Average capital and reserves attributable to equity holders