Wiese, Steinhoff take outright control of Shoprite
Shareholders back repurchase of Basson’s shares as Star’s voting power increases to 50.6%
Steinhoff and Christo Wiese are to emerge as the outright controlling shareholders of Shoprite after Shoprite shareholders’ backed the repurchase of 8.7-million shares from former CEO Whitey Basson. The unexpected nudge beyond the critical 50% control mark was revealed in Steinhoff Africa’s (Star’s) prelisting circular. The circular was released to the market late on Monday, not long before Tuesday morning’s extraordinary meeting of Shoprite shareholders. About 60% of the Shoprite shareholders entitled to vote participated in the meeting and 88% of them voted in favour of the R1.7bn share repurchase. One analyst said the recent increase in the Shoprite share price to about R222 may have persuaded shareholders to back the repurchase, which was priced at R201 a share.The repurchase and cancellation of Basson’s shares means that Star’s voting power in Shoprite will increase to a controlling 50.6% from 49.8%. It also means German-listed Steinhoff will be able to consolidate the Shoprite...
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