Brimstone and Curro's STADIO enter B-BBEE transaction
Fin 24 / Sep 19 2017 20:54 / Fin 24
Cape Town - Brimstone announced on Tuesday that it has successfully entered into an empowerment transaction with STADIO, the subsidiary of the JSE listed private education company Curro.
STADIO is an investment holding company that focuses on the acquisition of, investment in, growth and development of higher education systems. Curro is in the process of unbundling STADIO, with the intention of listing it separately on the JSE on 3 October 2017.
The transaction, valued at a minimum of R100m and a maximum of R200m, will be settled from Brimstone’s available cash resources.
The B-BBEE transaction has been structured in two legs. Brimstone will pay R100m for STADIO shares through a private placement, and has committed to underwrite a maximum of R100m worth of STADIO shares in the event that the STADIO shares are not all taken up by black investors.
“This is an important investment for Brimstone as it signals our entrance into the tertiary and higher education sector,” says executive chair of Brimstone, Dr Fred Robertson.
“All our investments are geared towards profitability, empowerment and making a positive social impact - and we believe that a financially sound and inclusive higher education system is crucial if SA is to meet its transformation and economic development objectives."
LINK - http://www.fin24.com/Companies/Investment-Holdings/brimstone-and-curros-stadio-enter-b-bbee-transaction-20170919