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Johannesburg - Mobile telecoms group MTN [JSE:MTN] on Monday opened its empowerment initiative, the MTN Zakhele share offer, to the public.
The public offer was launched at the MTN Service Centre in Protea Gardens Mall in Soweto, Johannesburg.
MTN Zakhele shares are being offered at R20 a share. To qualify, investors, namely black individuals or black-owned businesses, are required to purchase a minimum of 100 MTN Zakhele shares, with the option to buy more. "There will be no cap per individual investing in MTN Zakhele shares," MTN said.
"Now is the time to build your future," said MTN Group's executive, corporate affairs, Nozipho January-Bardill.
Applications for MTN Zakhele shares close on October 14 2010.
A bottom-up allocation process will be followed should the 80.9 million shares available through the scheme be oversubscribed.
"Black applicants who are Rica-compliant customers of MTN will receive preferential allocation of MTN Zakhele shares in the event of an oversubscription. However, no preferential treatment will be given to MTN employees or directors of MTN," it said.
The MTN Zakhele empowerment initiative is envisaged to run for six years, the first three of which will be a lock-in period after which participants will be free to trade with other black investors.
"MTN Zakhele is part of MTN's commitment to provide long-term and sustainable benefits to the country's BEE (black economic empowerment) participants," January-Bardill said.
"We are presenting MTN Zakhele as an offer to the black public, acting within the letter and the spirit of the broad-based black economic empowerment codes and empowerment requirements for South African businesses.
"We are doing this because we believe that empowerment is an integral part of the MTN business and it is critical for the success of the group," she said.
The public offer was launched at the MTN Service Centre in Protea Gardens Mall in Soweto, Johannesburg.
MTN Zakhele shares are being offered at R20 a share. To qualify, investors, namely black individuals or black-owned businesses, are required to purchase a minimum of 100 MTN Zakhele shares, with the option to buy more. "There will be no cap per individual investing in MTN Zakhele shares," MTN said.
"Now is the time to build your future," said MTN Group's executive, corporate affairs, Nozipho January-Bardill.
Applications for MTN Zakhele shares close on October 14 2010.
A bottom-up allocation process will be followed should the 80.9 million shares available through the scheme be oversubscribed.
"Black applicants who are Rica-compliant customers of MTN will receive preferential allocation of MTN Zakhele shares in the event of an oversubscription. However, no preferential treatment will be given to MTN employees or directors of MTN," it said.
The MTN Zakhele empowerment initiative is envisaged to run for six years, the first three of which will be a lock-in period after which participants will be free to trade with other black investors.
"MTN Zakhele is part of MTN's commitment to provide long-term and sustainable benefits to the country's BEE (black economic empowerment) participants," January-Bardill said.
"We are presenting MTN Zakhele as an offer to the black public, acting within the letter and the spirit of the broad-based black economic empowerment codes and empowerment requirements for South African businesses.
"We are doing this because we believe that empowerment is an integral part of the MTN business and it is critical for the success of the group," she said.
