Brown to meet Futuregrowth, Old Mutual after ‘unfortunate’ funding suspension
Public Enterprises Minister Lynne Brown, who is Shareholder Minister for Eskom and Transnet, will meet with the CEOs of Old Mutual and Futuregrowth Asset Management on September 8, following Futuregrowth’s suspension of financing to six State-owned Companies (SoCs), owing to governance concerns.
Besides Eskom and Transnet, Futuregrowth, which is an Old Mutual subsidiary, indicated that it would suspend future lending to the South African National Roads Agency Limited, the Land Bank, the Industrial Development Corporation and the Development Bank of Southern Africa.
In a statement released on Tuesday, Brown described the action taken by Futuregrowth as “unfortunate” and noted that it had been taken without consultation with government, herself or the SoCs.
“I have agreed to a meeting on Thursday 8 September 2016 with the CEO of Old Mutual and the Chief Executive of Futuregrowth Asset Management,” she said, noting that while Old Mutual had distanced itself from its subsidiary it had, to date, not instructed Futuregrowth to retract either the decision or the statement.
The CEO of Old Mutual is Bruce Hemphill, while Andrew Canter leads Futuregrowth.
Futuregrowth Asset Management has direct exposure of about R10-billion in Eskom and Transnet, Brown said. Collectively, the two companies had raised over R470-billion from other financial institutions.
She stressed that neither entity had defaulted on the payment of loans and/or other credit facilities.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
