17. STATED CAPITAL
 
Figures in Rand thousand  2020     2019    
Stated capital 
Opening balance  4 239 621     3 443 223    
Shares issued for cash1  –     713 115    
Shares issued as a result of the acquisition of businesses2  –     48 427    
Shares issued to the Group share incentive and retention schemes3  –     1 170    
Treasury shares allocated4  10 598     33 686    
4 250 219     4 239 621    
1 At fair value. 
2 In terms of purchase and sale agreements. 
3 In terms of the Group Share Scheme. 
4 Average price paid for treasury shares is R14.48 per share (2019: R23.70). 
Authorised 
500 000 000 ordinary shares of no par value 
40 000 000 EOH A shares of no par value 
Issued 
Figures in Rand thousand  2020     2019    
Reconciliation of the number of shares in issue 
Opening balance  176 545     152 797    
Shares issued as a result of the acquisition of businesses  –     1 203    
Shares issued to the Group share incentive and retention schemes  –     50    
Shares issued as a result of the Lebashe BBBEE transaction  –     22 495    
Shares in issue at the end of the year  176 545     176 545    
Less: 
Treasury shares held in the Group share incentive schemes  (2 341)    (2 351)   
Treasury shares held by wholly owned subsidiaries of the Group that will not be cancelled  (5 548)    (5 650)   
168 656     168 544    
EOH A shares of no par value 
Reconciliation of the number of shares in issue       
Opening balance  40 000     –    
Shares issued as a result of the Lebashe BBBEE transaction*  –     40 000    
Closing balance  40 000     40 000    
 

* The Lebashe transaction was approved by shareholders on 18 September 2018 and effectively implemented on 1 October 2018. Since the date of approval Lebashe has:

– invested R750 million in two tranches in EOH ordinary shares based on a 30-day VWAP at a 10% discount for an average share price of R33.59; and

– received 40 million unlisted EOH A shares which will be redeemed in five years on 1 October 2023 through an ordinary share issue. The A shares rank equal to an EOH ordinary share in respect of voting rights and each EOH A share will receive cash dividends in an amount equal to the value of 15% of dividends paid by EOH to ordinary shareholders. The remaining 85% of the dividend value will be accrued and redeemed through the redemption of the A shares. Despite the variability in number of EOH ordinary shares that will be issued, the obligation to Lebashe is treated as an equity transaction as the settlement will be undertaken in ordinary shares and the transaction is therefore within the scope of IFRS 2.

Unissued
323 455 039 (2019: 323 455 039) unissued ordinary shares are under the control of the directors in terms of the provisions of the Company’s Memorandum of Incorporation ("MoI").