BLSA rejects Capitec offer on Viceroy report | Fin24
 
  • Covid-19 Money Hub

    The hub will help answer your business and money questions during the coronavirus crisis.

  • Dudu Myeni

    The former SAA chair has been declared a delinquent director for her role at the national airline.

  • Cigarette Ban

    Govt says emerging research shows smoking leads to more severe cases of Covid-19.

Loading...

BLSA rejects Capitec offer on Viceroy report

Aug 05 2018 08:14
Roxanne Henderson, Bloomberg

Business Leadership South Africa, a lobby group made up of some of the country’s largest companies, said it turned down an offer from Capitec Bank Holdings to pay for a report on short seller Viceroy Research, which had earlier in the year targeted the lender.

Following conversations with Capitec Chief Executive Officer Gerrie Fourie, who offered to pay for the research, BLSA decided it wanted to own the report and declined, Bonang Mohale, CEO of of the business group, said by phone on Friday.

It’s “absolutely true” that there were emails about the matter between the two CEOs, as reported by Johannesburg-based Business Day, but BLSA commissioned and paid for the report, he said.

Research company Intellidex produced the 49-page document for BLSA in July. On its unverified Twitter account, Viceroy called it a “smear piece” and refuted some of its findings. Viceroy first came to the fore in the country in December when it released a critical report on Steinhoff International Holdings the day after the retailer uncovered accounting irregularities. At the end of January, it published a piece about Capitec [JSE:CPI] that sent the bank’s stock tumbling and prompted the central bank to step in and defend the lender.

Capitec, South Africa’s fastest-growing bank and a BLSA member, didn’t contribute to Intellidex’s fees, spokesperson Charl Nel said on Friday. BLSA contracted and paid Intellidex, according to the research company’s chairperson, Stuart Theobald.

* SUBSCRIBE FOR FREE UPDATE: Get Fin24's top morning business news and opinions in your inbox.

blsa  |  viceroy  |  capitec  |  viceroy reports
NEXT ON FIN24X

 
 
 
 

Company Snapshot

Voting Booth

How has Covid-19 impacted your financial position?

Previous results · Suggest a vote

Loading...