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Johannesburg - The Public Investment Corporation (PIC) has expressed reservations about the proposed R9.1bn empowerment deal between ArcelorMittal SA [JSE:ACL] and the Ayigobi consortium, a group of black investors which numbers the controversial Imperial Crown Trading among its shareholders.
This is the third institutional shareholder to suggest it may vote down the transaction, after Sanlam on Friday said there was minimal black empowerment in the proposal and RMB Asset Management last month said it would oppose the deal.
Despite mounting opposition to the transaction, ArcelorMittal SA spokesperson Julian Gwillim said the financial effects of the proposed deal were being compiled for inspection by the JSE. A date was also being set for shareholders to vote on the deal.
Sandile Zungu, who holds the lead interest in Ayigobi, told Fin24.com on Monday that the deal was certainly going ahead and that the administration details were being handled by ArcelorMittal SA. "Those people that think the deal may not go ahead are possibly those that lost out and wish otherwise," said Zungu.
As head of the Ayigobi consortium, Zungu said all was going well and that the deal should be presented to ArcelorMittal shareholders for a vote. He said there was no basis for assertions that the deal may be abandoned by ArcelorMittal.
This is the third institutional shareholder to suggest it may vote down the transaction, after Sanlam on Friday said there was minimal black empowerment in the proposal and RMB Asset Management last month said it would oppose the deal.
Despite mounting opposition to the transaction, ArcelorMittal SA spokesperson Julian Gwillim said the financial effects of the proposed deal were being compiled for inspection by the JSE. A date was also being set for shareholders to vote on the deal.
Sandile Zungu, who holds the lead interest in Ayigobi, told Fin24.com on Monday that the deal was certainly going ahead and that the administration details were being handled by ArcelorMittal SA. "Those people that think the deal may not go ahead are possibly those that lost out and wish otherwise," said Zungu.
As head of the Ayigobi consortium, Zungu said all was going well and that the deal should be presented to ArcelorMittal shareholders for a vote. He said there was no basis for assertions that the deal may be abandoned by ArcelorMittal.
