Christo Wiese is letting go of control of Shoprite, his largest investment, but in return could get a windfall of more than R3bn. The retailer on Thursday gave further details of a deal to buy back the shares that have enabled the billionaire to call the shots for decades. And for his trouble, the 77-year-old tycoon will get 20-million new ordinary shares if the deal goes through. Wiese, through his Titan Group, will emerge with a bigger economic stake in the nation's largest retailer, but with much less voting power. "The voting interest of the Titan Group will decrease from [about] 42.3% to [about] 17.8% and its economic interest will increase from [about] 14.8% to [about] 17.8%," Shoprite said in a statement. At a share price of about R175, the deal is worth more than R3bn. But less control does not mean Wiese is exiting the business. "I have been invested in Shoprite for 40 years and I have no intention, nor does my family have any intention, of not considering it a long-term in...
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.