Borrowings are recognised initially at fair value, net of transaction costs incurred, when the relevant contracts are entered into. Borrowings are subsequently stated at amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised in the income statement over the period of the borrowings using the effective interest rate method.
Financial liabilities are derecognised when the obligation specified in the contract is discharged, cancelled or expired.
Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 months after year-end.
2022 R’000 |
2021 R’000 |
|||
---|---|---|---|---|
Interest-bearing borrowings | 2 567 752 | 1 706 163 | ||
Non-interest-bearing borrowings | 719 | 989 | ||
2 568 471 | 1 707 152 | |||
Amounts included in non-current portion of borrowings | 474 471 | 2 778 | ||
Amounts included in current portion of borrowings | 2 094 000 | 1 704 374 | ||
The table below details the facilities drawn upon at 31 May 2022.
Available facility | Facility utilised | ||||||
2022 R’000 |
2021 R’000 |
2022 R’000 |
2021 R’000 |
||||
---|---|---|---|---|---|---|---|
Mezzanine facility | — | 410 532 | — | 410 532 | |||
Facility A | 1 125 000 | 1 450 000 | 941 584 | 1 292 637 | |||
African Bank | 1 900 000 | — | 1 623 342 | — | |||
3 025 000 | 1 860 532 | 2 564 926 | 1 703 169 |
The Group did not default on any loans or breach any terms of the underlying agreements during the year.
Changes in liabilities arising from financing activities
Borrowings due within one year R’000 |
Borrowings due after one year R’000 |
Total R’000 |
||
Opening balance as at 1 June 2020 | 2 316 383 | 2 778 | 2 319 161 | |
Acquisition of subsidiary | 726 | — | 726 | |
Non-interest-bearing borrowings raised | 270 | — | 270 | |
Non-interest-bearing borrowings repaid | (13 959) | — | (13 959) | |
Interest-bearing borrowings raised | 152 007 | — | 152 007 | |
Interest accrued on interest-bearing borrowings* | 152 331 | — | 152 331 | |
Interest-bearing borrowings capital repaid | (751 053) | — | (751 053) | |
Interest-bearing borrowings interest repaid | (152 331) | — | (152 331) | |
Closing balance as at 31 May 2021 | 1 704 374 | 2 778 | 1 707 152 | |
Non-interest-bearing borrowings raised | — | — | — | |
---|---|---|---|---|
Non-interest-bearing borrowings repaid | (270) | — | (270) | |
Interest-bearing borrowings raised through the acquisition of non-controlling interest | 104 950 | — | 104 950 | |
Interest-bearing borrowings raised | 1 155 448 | 471 693 | 1 627 141 | |
Interest accrued on interest-bearing borrowings* | 183 280 | — | 183 280 | |
Interest-bearing borrowings capital repaid | (870 502) | — | (870 502) | |
Interest-bearing borrowings interest repaid | (183 280) | — | (183 280) | |
Closing balance as at 31 May 2022 | 2 094 000 | 474 471 | 2 568 471 |
* | Of the total interest accrued on interest-bearing borrowings, R17 million (2021: R59 million) is accounted for as finance costs incurred in the generation of revenue on the Group income statement. The balance is accounted for in finance costs on the Group income statement. |