PIC releases details of unlisted portfolio
VBS Mutual and Independent Media are among investments of R44.6bn Isibaya Fund
The most "political" investment on the list is the R166m purchase of a direct equity stake of 25% in Independent Media and R763m in shareholder loans to the company, as well as R346m of converted debt. All these investments were made in August 2013. The internal rate of return on the equity investment was minus 6.15%, while the loans generated returns of between 10% and 15%. Also on the list of the fund’s unlisted investments is a R300m loan to financial services company VBS Mutual Bank, which were made between July 2015 and February 2016, as well as a R6m investment in equity. President Jacob Zuma obtained a loan from VBS to pay back the R7.8m that he was found to owe on the upgrade of his Nkandla homestead. PIC chief investment officer Dan Matjila said the PIC and the Isibaya Fund invested in a range of financial institutions and did not have any say over their lending decisions. He also reiterated that the PIC was engaged in talks about acquiring a stake in Barclays Africa when i...
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