Sekunjalo acquisition of PIC’s Independent stake came with a catch, inquiry told
The offer by Iqbal Survé’s Sekunjalo to buy the PIC’s stake in Independent Media at almost double its book value was conditional on the PIC investing in Sagarmatha
A senior executive at the Public Investment Corporation (PIC) has testified that the deal tabled by Iqbal Survé’s Sekunjalo Investment Holdings to buy out the PIC’s stake in Independent Media was dependent on the state-owned asset manager investing in the listing of the businessman’s Sagarmatha Technologies. Tshifhango Ndadza, a senior market risk analyst at the PIC, told an inquiry into the asset manager how it initially invested R1.285bn in 2013 to enable Sekunjalo to buy the Independent Media group from its Irish parent, Independent News and Media Plc in 2013. Independent Media owns a range of well-known publications including The Star and Cape Argus. Sekunjalo would later table an offer to buy the PIC’s shares and loans in Independent Media at almost double their book value, representing a substantial premium. However Ndadza testified that there was a catch. “The proposal also carried with it an implicit investment consideration for PIC to invest in Sekunjalo’s listed enti...
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.