4.4. Technology, media, telecommunications, exploration and other research and development companies (Capital Transfers)

(a) Unlisted technology, media, telecommunications, exploration and other research and development companies may apply to the Financial Surveillance Department via an Authorised Dealer for approval to primary list offshore to raise foreign loans and capital for their operations, subject to the following conditions:

(aa) registration with the Financial Surveillance Department;

(bb) such a company must operate as a South African tax resident and be incorporated and effectively managed and controlled in South Africa;

(cc) intellectual property must remain registered in South Africa but may be assigned offshore, subject to appropriate tax treatment;

(dd) the offshore listed entity must secondary list in South Africa within two years following the successful offshore listing;

(ee) a report must be submitted to the Financial Surveillance Department on the status of the offshore listing; and

(ff) an annual report must be submitted to the Financial Surveillance Department on the operations including details of funds raised offshore.

(b) Unlisted South African technology, media, telecommunications, exploration and other research and development companies may establish an offshore company to raise foreign funding for their operations, subject to the following conditions:

(aa) registration with the Financial Surveillance Department;

(bb) such a company must operate as a South African tax resident and be incorporated and effectively managed and controlled in South Africa;

(cc) intellectual property must remain registered in South Africa but may be assigned offshore, subject to appropriate tax treatment;

(dd) the offshore listed entity must secondary list in South Africa within two years following the successful offshore listing;

(ee) a report must be submitted to the Financial Surveillance Department on the status of the offshore listing; and

(ff) an annual report must be submitted to the Financial Surveillance Department on the operations including details of funds raised offshore.

(aa) registration with the Financial Surveillance Department;

(bb) the established offshore company must be a tax resident in South Africa; full details of the percentage shareholding in the offshore company including the group structure must be provided; and

(cc) an annual report must be submitted to the Financial Surveillance Department on the operations, including details of funds raised offshore.