Understandably, investors struggled to comprehend African Rainbow Capital Investments’ (ARC Investments) decision to launch a rights issue when the company’s shares are languishing more than 60% below the value of its underlying assets.

But perhaps what angered them was the idea of the company’s leadership team to use a third of the R750m proceeds to pay outstanding fees to UBI General Partner — a division of Patrice Motsepe’s Ubuntu-Botho — for its day-to-day management of a fund that houses ARC Investments’ underlying assets...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now