"Acquisition debt"

means the debts of:

"Associated Enterprise"

means an Entity with which a Seller has concluded a Qualifying Transaction;

"BEE controlled company"

means a juristic person, having share holding or similar members interest, in which black participants enjoy a right to Exercisable Voting Rights that is more than 50% of the total such rights measured using the Flow Through Principle;

"BEE owned company"

means juristic person, having share holding or similar members interest, that is BEE controlled, in which black participants enjoy a right to Economic interest that is more than 50% of the total such rights measured using the Flow through Principle;

"Beneficiation"

The term mineral "beneficiation" entails the transformation of a mineral (or a combination of minerals) to a higher value product, which can either be consumed locally or exported. The term "beneficiation" is used interchangeably with "value-addition" or "downstream beneficiation". The beneficiation of minerals includes downstream and side-stream linkages;

"Black People"

includes all African, Coloured or Indian persons who are South African citizens by birth or by descent or who were naturalized prior to the commencement of the interim constitution in 1993. In addition the term also includes black people who became South African citizen after the interim constitution's commencement but who would have been able to be naturalized prior to this, were it not for the Apartheid law which prohibited naturalization of certain persons;

"Consultation"

means a joint consensus seeking process

"Economic interest"

means a claim against an Entity representing a return on ownership of the Entity similar in nature to a dividend right, measured using the Flow Through and, where applicable, the Modified Through Principles;

"Entity"

means a natural or a juristic person conducting a business, trade or profession in the Republic of South Africa;

"Fronting"

means any practices or initiatives which are in contravention of or against the spirit of any law, provision, rule, procedure, process, system, policy, practice, directive, order or any other term or condition pertaining to black economic empowerment under the Codes.

"HDSA Controlled Company"

means that companies that are owned or controlled by HDSA

"Historically disadvantaged South Africans"

means—

"Mandated Investment"

means collective investment, through ESOPS and mining dedicated unit trusts. The majority ownership of these would need to be HDSA based. Such empowerment vehicles would allow the HDSA participants to vote collectively ESOPS and mining dedicated unit's trusts.

"Net Value"

means the value of the Equity Instruments held by HDSA's determined on the date of measurement less the carrying value of any acquisition debts of the relevant HDSA Participants on the date of measurement expressed as a percentage of the value of the Measured Entity on the date of measurement.

"Ownership"

recognises and measures the entitlement of black people to the voting rights and economic interest associated with equity holding.

"Participant"

means a natural person holding rights of ownership in a Measured Entity;

"Qualifying Transaction"

means a sale of a business, valuable business assets or shares that results in the creation of sustainable business opportunities and transfer of specialised skills or productive capacity for HDSA participants;

"Rights of ownership"

is a collective term for the right to Economic Interest and the right to Exercisable Voting Rights;

"Standard valuation method"

means a standard valuation method for an asset, an Economic Interest, or any other instrument or right relevant to measurement under this code, undertaken using normal valuation methods that represent standard market practise;

"Voting Rights"

means the control of the Enterprise, through the exercise of voting rights at shareholder meeting.