COMPANY COMMENT: Sasol shopping around for best way forward
It’s great the board acted early — but a shame they don’t know quite what it is they should do
Sasol has certainly thrown the market into disarray; nobody seems to know quite what’s going on or what might be going on. What a relief its board members decided to do something about the situation almost a year before it became a disastrous fait accompli. But it’s a shame they don’t know quite what it is they should do. Perhaps over the next few weeks they’ll toss out some more ideas and see how the share price reacts. Does that sound like the corporate finance equivalent of a TV talent show — whatever gets the biggest response wins the day? One thing’s certain: there will have to be some finality on how the Sasol Inzalo scheme is to be wound down if the proposed new Sasol Khanyisa scheme is to have any hope of success. As part of the initial plan to issue up to 43-million Sasol shares to fund black economic empowerment (BEE) losses and roll into another scheme, the Khanyisa plan sounded enticing. Speculation is that some of Sasol’s large foreign shareholders took fright at the me...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.