COMPANY COMMENT
Brait should know not to keep investors in dark
Jittery Brait investors, whose shares have collapsed in value over the past two years, were given more reason to feel uneasy on Tuesday. Aside from posting a R9.7bn loss for the year to March (following a R16bn loss the previous year), the investment holding company revealed two worrying transactions. That it did so with little transparency is even more cause for concern. Given the corporate malfeasance of recent months – and the clouds surrounding Brait’s 35% shareholder, Christo Wiese — you would think the company would have the good sense to give as much detail as possible. Leaving room for interpretation leaves people assuming the worst. And judging from the social media backlash, that is exactly what happened. But even with more information, neither of the transactions shine a favourable light on Brait. For one, it is on the hook for R1.9bn relating to share-backed loans extended to its investment team to buy shares in the company. Brait would need to pay up if — when the loans...
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