Windfall for shareholders of HCI’s transport subsidiary
Hosken Passenger Logistics and Rail, the JSE-listed owner of Golden Arrow Bus Services, is distributing a debt repayment to shareholders
Hosken Passenger Logistics and Rail, a division of Hosken Consolidated Investment (HCI), says it plans to hand over cash to shareholders after selling its rights to money owed by Warshay Investments. The holding company of Golden Arrow Bus Services said in a statement on Friday it had sold the promissory note to Sanlam for R240m and intends to use the proceeds “mainly to declare a special dividend to HPLR [Hosken Passenger Logistics and Rail] shareholders”. It expects the divided to be declared in the first quarter of 2019. The rights were originally acquired from La Concorde SA, which is part of HCI, prior to its listing on the JSE in April. La Concorde had acquired them in 2016 when it sold liquor group KWV to Warshay, with payment due in instalments on anniversary dates of the transaction becoming effective. The sale agreement with Sanlam Life Insurance was concluded on December 20, the company said. The share price of parent group HCI, which has interests ranging from media to m...
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