The Bankorp noise, which has dogged Absa for several years, could play a big role in resolving concerns on the part of potential buyers and regulatory bodies about any continued liability this could pose. Chris Steward, of Investec Asset Management, said this week that, when looking at the business, prospective buyers would want some kind of assurance that they were indemnified from any liability. "If I was a regulator approving a potential transaction for this business to be sold, I would prefer to see certainty as to the outcome of this claim prior to the approval. Probably, to make it clean, Absa would as well," he said. However, Steward said, it was unlikely that the Ban-korp issue would materially delay the process. "I can't unambiguously state that this is all going to go away very soon and that it's a storm in a teacup; that's my suspicion, but I don't know." This week protesters at an Absa branch in Durban demanded the bank pay back money from a bailout provided to Bankorp, ...
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.