The Information Communication Technology Union (ICTU) has asked Investec to explain the ‘devaluing’ of the “Believe Phantom Option Shares Scheme (Believe Share Scheme)” awarded to Cell C workers a few years ago.

In a memorandum seeking clarity on the matter, the ICTU says: “We require Investec to make available the audited financial reports received by Investec from Cell C, which informed Investec as the fund administrators to render the share scheme to be deemed to have lost monetary value.”

The union added: “We question and require a detailed explanation of the non-communication on the share scheme to the registered individual shareholders from inception to date”.

Three years ago, on 1 September 2017, Cell C awarded its workers shares in the Believe Share Scheme, based on the company’s audited financial results for 2016.

At the time, the share price was R31.06.

Cell C had set the first vesting date for 1 September 2020 for the Believe Share Scheme.

However, the company has not paid out any dividends to workers because it says the EBITDA threshold was not met by the business.


Today, the ICTU submitted a detailed memorandum addressed to Fani Titi, the CEO of Investec, asking the financial services firm to clarify several issues related to the Believe Share Scheme.

The ICTU, an affiliate of the South African Federation of Trade Unions led by Zwelinzima Vavi, is the sole worker representative at Cell C.

The ICTU memorandum handed to Investec, which was seen by TechFinancials, seeks the following:

  • An account of the reported sudden and surprising ‘devaluing’ of the shares, which according to responses obtained via inquiries to Investec’s Customer Care Centre between the dates 12th and 13th August
  • An explanation of the sudden devaluing of the shares price from R31,06 to R24,67
  • Members share records/statements as per individual registered contracts including the performance growth value which were recorded at the value of R45,06 in the early weeks of August 2020.
  • Disclosure of the current and former executives who held or managed the shares on behalf of Cell C employees and the terms and conditions thereof.
  • Disclosure of settlement paid to the former CEO (Jose dos Santos) and success fees in relation to the Believe Share Scheme
  • Details of how the share scheme is controlled by Cell C executives and its Board of Directors. The union also wants details of their powers and share allocations made to them.

The ICTU has given Investec until Friday next week to respond.

TechFinancials was unable to reach Investec for comment.



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