Another reason why its good to buy an IPO and hold for the Long Term

Uganda Clays IPO
Your Return 0n Your Investment

Original Divestiture Program
Governed by the Public Enterprise Reform and Divestiture (PERD) Statute of 1993, UCL was listed in Class 4 of the Statute (whereby the Government of Uganda (GoU) is required to fully divest its interest in a company). A decision was made in November 1998 by the Divesture and Reform Implementation Committee (DRIC) (as established by the above PERD Statute) that 325,000 shares of the total 375,000 Government held shares were to be sold to the public, the balance of 50,000 was to be sold to the management and staff of UCL. GoU eventually allotted an additional 50,000 shares to the staff. The offer price to the public was UShs 4000 while the discounted price to staff was UShs 3850.

Had you purchased 1 share of Uganda Clays during the IPO offering at 4,000 Shilling that share would be currently worth 250,000 shillings
That one Share has split first by 10 and then again by 100 becoming 1000 shares

If you had purchased the 8 Shares you were entitled to during this year’s Rights Issue Offer
They would have cost you 21,200 Shillings

Those 8 Shares would have also split into 800 Shares

at today’s closing price of 250 per share (11th Sept. 2008) your 1800 Shares would be with 450,000

The Original investment of 4,000 shillings plus the additional 8 shares purchased f 21,200
you would now have 1800 shares wth 450,000 Shillings

Small Investors
1 Share - 450,000
10 Shares - 4,500,000
100 Shares - 45,000,000
1,000 Shares - 450,000,000

NSSF and Large Invests
10,000 Shares 4.5 Billon
100,000 Shares 45 Billion
1 Million Shares - 450 Billion

Current Shareholders
(As at July 31, 2008) As of Sept 1 2008
of 9 Million Shares 900 Million Shares
• National Social Security Fund–NSSF (30.59%) 2,753,100 275,310,000 Shares
• National Insurance Cpation—NIC (18.86%) 1,697,400 169,740,00 Shares
• Barclays Bank of Uganda Nominees (9.5%) 855,000 85,500,000 Shares
• Uganda Communications Employee
Contributy Pension Scheme - UCECPS (5.74%) 516,600 51,660,000 Shares
• Bank of Uganda Retirement Benefits Scheme (2.09%) 188,100 18,810,000 Shares
• 1,165 Other Shareholders (33.22%) (Small Invests) 2,989,800 298,980,000 Shares
*Note Sept 1, 2008 Shareholdings are based on the 1 to 100 Split of July 31, 2008 Shareholdings

Bill