BP Southern Africa (BPSA) on Thursday announced that it had sold off 25% plus one share of its business to two black economic-empowerment (BEE) partners to “deepen” its equity ownership structure in line with BEE legislation changes.
The Kapela BEE consortium, which included the Disability Empowerment Concerns Trust, acquired a 20% plus 1 share for an undisclosed amount, while broad-based BEE trust, the BPSA Education Foundation, acquired 5% of BPSA’s shares.
The transaction, which was concluded after a competitive process, saw former BEE partners, the Mineworkers Investment Company and WDB Investment Holdings/WDB Fuel, exit its BEE partnerships after more than a decade.
“The partners were invited to participate in this [bidding] process and, during this time, elected to extract value from their existing investment, enabling BPSA’s new BEE structure,” explained BPSA chairperson Thandi Orleyn.
Kapela executive Fatima Abrahams and executive chairperson Israel Skosana would serve on BPSA’s board.
"We [Kapela] are excited to be a shareholder in BPSA. The acquisition of 20% plus one share is a significant investment for us,”
Skosana said.