YeboYethu, the broad-based black economic empowerment arm of Vodacom, announced that Thebe Investment Corporation had sold its 11,33% stake in the business to Mineworkers Investment Company.
YeboYethu said Thebe Investment Corporation, through Main Street, has disposed of its entire beneficial interest of more than 5,99 million or 11,33% shares to Mineworkers Investment Company through MIC Investment Holdings.
The details of the deal, such as the price paid by Mineworkers Investment Company, were not disclosed.
The Vodacom YeboYethu empowerment scheme was established in 2008 and allowed black people to purchase Vodacom SA shares at a discount.
This year marks the thirteen years of YeboYethu.
As the result of the transaction, YeboYethu announced changes to its directors.
In terms of the company’s memorandum of incorporation, every shareholder shall be entitled to nominate one director for appointment to the board for every 10% of the company’s issued ordinary shares held individually by that shareholder.
Neliswa Booi, and her alternate director Andile Mjamekwana, have resigned from the YeboYethu board with effect from 22 April 2021.04.22
Oren Fuchs has been appointed as a non-executive director, with effect from 23 April 2021. The appointment of Mr Fuchs and the resignations of Ms Booi and Mr Mjamekwana follows the sale of shares by Thebe Investment Corporation to Mineworkers Investment Company.
Fuchs is the Senior Stakeholder Manager for the Mineworkers Investment Company, which he joined in 2005. Fuchs holds a BA in Economics and Political Science and an MSc in Development Planning. He also completed a Finance Certificate at GIBS in 2010. He represents MIC’s interests on various investee boards, trusts and foundations.
In 2008, Vodacom facilitated a R7.5 billion B-BBEE deal where different groups acquired shares in its South African operations (Vodacom SA). The groups were YeboYethu, Thebe Investment Corporation, Royal Bafokeng Holdings and Vodacom SA employees (ESOP). That deal was set to mature in 2018.
Instead of liquidating the 2008 deal and distributing cash to investors, as it usually happens in B-BBEE deals, Vodacom opted to extend its life by another ten years to 2028, making for a new R17.5 billion formation.
In the past 12 months, the share price has shot up by more than 154%, pushing the YeboYethu scheme’s market value to R2,2 billion.
Today, stock trades above R42 a share, and in the past 30 days has risen 7,5% and past 90 days was up 22,5%.
