ORION EQUITIES LIMITED — Net Asset Value 2014

Aug 13, 2014

Thursday, 14 August 2014

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MARKET ANNOUNCEMENT

Net Tangible Asset Backing – 31 July 2014

Month Ending:Net tangible assets (NTA) (before tax)Pre-Tax NTA Backing per shareNet tangible assets (after tax)Post-Tax NTA Backing per shareBased on total issued share capital	% Change	31 July 2014Consolidated30 June 2014Consolidated
	+1.14%	$8.061 m$7.970 m$0.507$0.501
	+1.14%	$7.970 m$7.970 m$0.507$0.501
		15,905,52815,905,528

The NTA position comprises the following items:

The NTA position comprises the following items:
Net Tangible Assets	Current MonthPrevious Month$’millions$’millions
Investment in listed Associated Entity:(a)Shares in Bentley Capital Limited (BEL)Investments in other listed securities:(a)Shares in Strike Resources Limited (SRK)(b)Other listed securitiesInvestment in units in managed fundInvestment in property (held for development/resale)Agribusiness assetsNet cash/receivables/payables/other assets/provisionsPre-Tax NTATax Provisions:(a)Prior year tax(b)Current year tax(c)Net deferred tax asset / (liability)Post-Tax NTA	3.7893.8580.9010.6680.094-0.2530.2501.4901.4901.1131.1170.4210.587
	$8.061$7.970
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	$8.061$7.970

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www.orionequities.com.au

ORION EQUITIES LIMITED

A.B.N. 77 000 742 843

Level 2, 23 Ventnor Avenue, West Perth Western Australia 6005 T | (08) 9214 9797 F | (08) 9214 9701

ASX Code: OEQ

E | info@orionequities.com.au

20140814 OEQ ASX NTA Backing as at 31 July 2014.docx

Notes:

• (1) The Company’s investment in BEL, an Associated Entity (i.e. in which the Company has a greater than 20% interest), is accounted for under the equity method in the consolidated financial statements.

• (2) Under the equity method, the carrying amount of such investment is cost plus a share of the Associate Entity’s net profit or loss (after tax) for the financial year to month end as provided to the Company by such Associated Entity (refer note 1.3 (Summary of Accounting Policies - Investments in Associates) at page 23 of the Company’s 2013 Annual Report).

  • Accordingly, as at 31 July 2014, the Company’s 20,513,783 shares (27.76% interest) (30 June 2014: 20,513,783 shares and 27.76%) in BEL have a carrying value of $0.1847 per share ($3.789m); this compares with BEL’s last bid price on ASX of $0.150 per share ($3.077m) and BEL’s after-tax NTA backing of $0.2272 per share ($4.816m) at month end.

• (3) The fair value of investments in ASX-listed Strike Resources Limited ( SRK ) comprise 16,690,802 shares (30 June 2014: 16,690,802 shares) with a value of $0.054 per share (based on the closing bid price on 31 July 2014) (30 June 2014: $0.040).

• (4) The fair value of investments in other listed securities is based on each security’s last bid price on market at month end.

• (5) Units invested in the managed fund are valued at the audited unit price published by the investment manager, as at month end – the unit price reflects the net asset backing of the fund; there is no buy/sell spread price; there is no recognition of realisation costs as there are no exit fees charged on redemption of units.

• (6) Investment in property (held for resale) is carried at net realisable value (refer note 1.13 (Summary of Accounting Policies - Property held for Resale) at page 25 of the Company’s 2013 Annual Report.

• (7) Agribusiness assets comprise a 143 hectare property comprising olive grove land and trees, depreciable plant and equipment, grove-related infrastructure. The olive grove land and trees are carried at net realisable value (refer note 1.14 (Summary of Accounting Policies - Property, Plant and Equipment) at page 26 of the Company’s 2013 Annual Report).

• (8) Tax Provision Item (c) includes where applicable, a provision for income tax on net unrealised gains on the Company’s investments in securities and its share of Associated Entities’ after-tax net profit for the month (deferred tax liability) and the recognition of future income tax benefits on net unrealised losses on the Company’s investments in securities and its share of Associated Entities’ after-tax net loss for the month (deferred tax asset).

FURTHER INFORMATION:

Farooq Khan T | (08) 9214 9797 Executive Chairman E |info@orionequities.com.au Victor Ho Executive Director T | (08) 9214 9797 and Company Secretary E |cosec@orionequities.com.au

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