A South African investment company, ASA Ltd., has announced it will reincorporate in Bermuda to save on its tax bill.

The move is not part of the US exodus which included Ingersoll Rand, Weatherford International an Nabors, but was prompted by new South African laws which will mean that certain tax exemptions will be repealed.

ASA, which is listed on the New York Stock Exchange, filed a notice of reincorporation with the Securities and Exchange Commission and said it will form a new company in Bermuda.

"ASA seeks this change primarily because of certain taxes ASA currently is subject to or will become subject to in South Africa following the repeal of its tax exemption at the end of the year," the company said in a press release.

The closed-end investment company said it doesn't expect to relocate until at least the end of 2003, pending receipt of the requested SEC relief, receiving approval to continue listing its shares on the NYSE, obtaining the approval of the High Court of South Africa and meeting shareholder approval requirements.

ASA Limited invests its assets in common shares of gold mining companies and other companies in South Africa.

For the financial year ended November 30, 2002, investment income fell eight percent to $10.9 million. Net increase in assets from operations increased totalled $118.2 million, up from $49.9 million. Revenues suffered from decreased interest and dividend income.

Net increase in assets benefited from unrealised appreciation on investment and translation of assets and liabilities in currency.