The resolution requires the debenture trust deed to be amended, and Redefine’s first quarter distribution for the three months to 30 November 2010, scheduled to be announced on 2 February 2011, will still be distributed. The next distribution will be in respect of the three months ending 28 February 2011 and thereafter, for the six months ending 31 August 2011.

Redefine financial director, Andrew Konig, says unitholders will benefit from the change in frequency of distributions, because Redefine will earn interest on surplus cash, which will result in additional income to distribute to unitholders. “In the 2011 financial year, this will translate into an additional R10-million, and in 2012 it will provide approximately R20-million in additional income.

“In addition, having non-recurring income spread over a six month period will result in more consistent and predictable distributions that our unitholders can depend on,” he says.

Konig adds that from a Redefine perspective, the change from four to two distributions per annum will reduce the administrative burden from an accounting and financial perspective, which assists in creating a more streamlined organisation.

Redefine announced a distribution of 15 cents (2010:16,75 cents) per linked unit for the quarter ended 30 November 2010.

Konig says the distribution reflects recurring income only, as no non-recurring fee income was earned in this quarter.  “In prior years, non-recurring fee income was smoothed over the first and third quarterly distributions. Following approval by unitholders of the move to six monthly distributions, the board has resolved to pay only the actual income earned in this quarter.

“On a like-for-like recurring income basis, the distribution of 15 cents per linked unit is in line with the distribution in same period last year, after excluding the non-recurring fee income of 1,81 cents per unit which was distributed,” he says.

Redefine CEO Marc Wainer is confident that the company will achieve moderate growth in its total distribution for the year ending August 2011 which includes the 3,8 cents per linked unit from the anticipated fee from the Hyprop/Attfund transaction.

The next distribution will be in respect of the three months to end February 2011, and thereafter in respect of the six months to end August 2011.