R/€ = 14.34
R/$ = 10.71
Au 1283.60 $/oz
Pt 1464.50 $/oz
Sep 13, 2007
Super Group shares drop on BEE dilutionBack
Deutsche Bank|Peu Group|Super Group|Logistics|South African Government|Peter Malungani
© Reuse this Shares in JSE-listed logistics firm Super Group plummeted by over 8% after it announced that its empowerment partner Peu Group would have to cut its stake in the company to pay back a loan.
Super Group said that Peu had to pay back financier Deutsche Bank for a 2004 loan it took out to buy a 25,6% stake in the JSE-listed company, but that it would not reduce its holding below 16,1%.
South African government strongly encourages companies operating in the country to sell a stake in their equity to blacks, who were excluded from the economy during apartheid.
Super Group said that Peu’s Peter Malungani would continue to serve as its chairperson.
“Super Group is committed to broad based black economic empowerment and will look to maintain its black economic-empowerment shareholding above 25%,” the firm said.
Super Group added that the stake sale would not affect its growth prospects for the year ahead.
Its stock was trading 5,54% down as at 13:13, at R12,80 a share.
© Reuse this Comment Guidelines (150 word limit)
Other Transport & Logistics News
Updated 5 hours ago Phase 1A of Johannesburg’s Rea Vaya bus rapid transit (BRT) system should carry around 42 000 people a day, while it was been expected that Phase 1B, rolled out last year, would add another 60 000 daily passengers. However, the entire system is currently carrying...
Updated 5 hours ago The design of the Beit Bridge border post is the biggest impediment to efficient freight movement between Zimbabwe and South Africa, says Cross-border Road Transport Agency CEO Sipho Khumalo. Beit Bridge is the busiest border post in Africa. A research study on the...
Updated 5 hours ago The next two years will see an aggressive expansion of Ford’s vehicle line-up in sub-Saharan Africa. The US auto maker will launch 25 new or refreshed vehicles in the region, of which 17 will find their way to South Africa.