AS AT 30 JUNE 2011
74
Notes to the Financial Statements (continued)
(e) Treasury shares
Treasury shares are shares in FlexiGroup Limited that are held by the FlexiGroup Tax Deferred Employee Share Plan Trust for
the purposes of issuing shares under the FlexiGroup Long Term Incentive Plan (see note 37 for further information).
Date
Details
Number of shares
$’000
Balance at 30 June 2009 and 30 June 2010 Opening Balance
10,947,500
3,564
15 September 2010
Acquisition of shares by the Trust
570,000
872
8 June 2011
Acquisition of shares by the Trust
394,500
832
Balance at 30 June 2011
Closing Balance
11,912,000
5,268
(f) Capital risk management
The Group’s objectives when managing capital are to safeguard their ability to continue as a going concern, so that they can
continue to provide returns for shareholders and benefts for other stakeholders and to maintain an optimal capital structure
to reduce the cost of capital. Consistent with others in the industry, the Group monitors capital on the basis of its gearing
ratio. In order to maintain or adjust its capital structure, the Group considers its issue of new capital, return of capital to
shareholders and dividend policy as well as its plans for acquisition or disposal of assets.
(g) Institutional Placement
On 23 February 2010, the Company announced it was to undertake a placement of 11,718,750 ordinary shares to institutional
and sophisticated investors at a fxed price of $1.28 per share. The placement was completed on 24 February 2010, with the
shares issued on 4 March 2010.
(h) Rights Issue
On 23 February 2010, the Company announced a rights issue of 1 fully paid ordinary share for every 12 ordinary shares held,
at an issue price of $1.28. The rights issue was successfully closed on 26 March 2010, with a total of 19,930,724 shares issued
on 31 March 2010.