MiX Telematics Announces Intention to Repurchase Shares

MIDRAND, South Africa, (May 3, 2016) – MiX Telematics has entered into an agreement to repurchase all of its shares currently held by Imperial Holdings Limited. This equates to 200,828,260 MiX Telematics shares which represents 25.33% of MiX Telematics’ issued share capital. MiX Telematics has agreed to pay 2.36 South African Rand per share, a 1.28% premium to the prior 30-days average trading price, for an aggregate repurchase consideration of 473,954,694 South African Rand.

"At current valuation levels for MiX Telematics shares, we can see no better acquisition opportunity than investing in our own business. We expect that this transaction will be earnings and value accretive for shareholders and view this as an excellent use of our cash," said Stefan Joselowitz, CEO of MiX Telematics.

“The disposal of Imperial’s minority stake in MiX is consistent with our espoused and recently demonstrated strategy to dispose, inter alia, of non-core and minority investments.  Imperial’s investment had no bearing on MiX’s valued supplier status, which was established through competitive, innovative products and services.  We look forward to perpetuating this business relationship in the years ahead,” said Mark Lamberti Group CEO of Imperial Holdings.

“MiX’s long and mutually beneficial relationship with Imperial remains robust, and we look forward to strengthening this association going forward. Due to its large motor vehicle distribution channel in South Africa and its various transport and logistics businesses, the Imperial group remains an important customer to MiX,” concluded Joselowitz.

As the repurchase constitutes a transaction with a related party, it remains subject to a fairness opinion required in accordance with the JSE Listings Requirements as well as shareholder approval. A circular containing full details of the terms of the repurchase, as well as the salient dates and times for the general meeting, will be posted to all shareholders in due course and will be announced on SENS as well as through 6-K filings to be furnished to the Securities and Exchange Commission.

Shareholders are advised that a further announcement setting out the financial effects of the repurchase will be released on SENS in due course.

Shareholders are further advised to continue to exercise caution when dealing in the company’s securities until a further announcement is made.

About MiX Telematics

MiX Telematics develops and implements connected fleet and mobile asset management solutions for customers across the globe. Our SaaS enabled software is developed to meet our customers’ requirements and aims to build long-term partnerships.

Founded in 1996, our heritage spans more than 25 years. Built on a solid foundation of deep-rooted expertise, we continue to hone our fleet management capabilities that are underpinned by innovation. This is evident throughout our product portfolio that meets the breadth of modern fleet challenges in an evolving industry.

Our products and services reach more than 120 countries and are supported by a prolific network of 130 channel partners and regional offices in 8 countries.

Contact MiX Telematics to discuss how we can solve your fleet management problems and increase efficiency, sustainability, security, compliance and safety.

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