Share

Ramaphosa quits Shanduka

Johannesburg - Deputy President Cyril Ramaphosa said on Monday he will completely divest from Shanduka as the group is set to become part of the country's largest black owned private investment firm.

"Shanduka's majority shareholders have entered into an agreement that will, among other things, result in my complete divestment from the Group," Ramaphosa said in a statement.

He said the in the interim, his family's interests will be held in blind trusts.

Ramaphosa said that he stepped down from the boards of several companies to remove the potential for any conflict of interest and enable him to effectively perform his role as the new deputy president.

The transaction would allow Ramaphosa "to exit his business interest in Shanduka and focus on his responsibilities in government".

Pembani Group, led by entrepreneur Phuthuma Nhleko, Ramaphosa's family trust, Jadeite Limited and Standard Bank, amongst others, have entered into an agreement to combine their interests and create a new black-controlled natural resources and industrial holding group.

The group is set to become South Africa's largest black owned private investment firm, reported Reuters.

"The group will have a gross asset value in excess of R13.5bn, which will give it significant scale with liquidity to pursue value creating opportunities in sub-Saharan Africa."

The proposed transaction is subject to the conclusion of a number of additional agreements and is anticipated to be completed before the end of 2014.

“The proposed transaction creates an African champion," said Nhleko, who will also chair the new group.

Ramaphosa added that the new deal "enables me to leave Shanduka and eliminate any conflicts of interest confident that its founding vision of value creation, empowerment and transformation will continue through the new entity".

In January last year, following Ramaphosa's election as deputy president at the African National Congress' 2012 Mangaung conference, it was announced that he would step down from his positions at mining company Lonmin and packaging group Mondi.

Ramaphosa was a non-executive board member at Lonmin and a joint chair at Mondi Limited and Mondi.

"In the course of the next few weeks, I will take any further practical steps necessary to ensure that I comply with requirements of the Executive Ethics Code and uphold the integrity of my office," he said.

Ramaphosa, who founded Shanduka in 2001, said he will still be involved in the Shanduka Foundation, a non-profit organisation that works in the areas of school, skills and enterprise development.

Shanduka is invested in a portfolio of listed and unlisted companies and has holdings in the resources, food and beverage industries.

The group also invests in the financial services, energy, telecommunications, property and industrial sectors.

Shanduka has investments in South Africa, Mozambique, Mauritius, Ghana and Nigeria.

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.88
+0.3%
Rand - Pound
23.82
+0.4%
Rand - Euro
20.38
+0.3%
Rand - Aus dollar
12.30
+0.3%
Rand - Yen
0.12
+0.3%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders