Vodacom is investing in its black shareholders

JOHANNESBURG - Vodacom yesterday said it was planning to splurge R17.5 billion to raise its black economic empowerment (BEE) stake in a deal that could see its black shareholders cashing in on a R3bn windfall. 

The group said the new deal would see its BEE partners of Royal Bafokeng Holdings (RBH), Thebe Investment Corporation and YeboYethu exchange their current shareholding for a shareholding of between 5.8 percent and 6.25 percent in Vodacom South Africa. 

It said the interests of the BEE partners and that of a newly formed staff scheme would be consolidated into a new YeboYethu BEE structure that would own shares in Vodacom Group. 

Broader markets 

“Our intention was always to move our BEE investors from being shareholders in Vodacom South Africa to a shareholding at the group level, thereby giving them exposure to the broader local and international markets in which Vodacom Group trades. 

“YeboYethu's shareholding in Vodacom Group will increase to around 6.25 percent, giving Vodacom Group an effective BEE shareholding of 20 percent,” said Vodacom Group chief executive Shameel Joosub. 

The transaction comes as its existing R7.5bn BEE ownership scheme comes to an end in October after 10 years. Joosub said the deal would preserve

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