MultiChoice says Phuthuma Nathi shareholders approve share offer
TELECOMPAPER / 22 OCTOBER 2019 - 11.48 / CET - NEWS
MultiChoice said its share offer to its black investors in the Phuthuma Nathi (PN) empowerment scheme has been approved. As part of its broad-based black economic empowerment (B-B-BEE) transaction, MultiChoice sold shares in its South Africa operations to black investors through Phuthuma Nathi schemes.
MultiChoice Group (MCG) wanted to exchange up to 20 percent of their PN shares for MCG shares. It said PN shareholders have, at separate special meetings voted in favour of the proposed amendments that will enable the share exchange to proceed. PN shareholders also voted in favour of the proposal to combine the two B-BBEE schemes, PN 1 and PN 2, into a single entity.
As part of MCG’s listing on the Johannesburg Stock Exchange (JSE) PN shareholders received an additional 5 percent share in MultiChoice South Africa (MCSA), increasing their stake in the Group’s South African operations to 25 percent. This share exchange opportunity will enable PN shareholders to have exposure to the broader MultiChoice Group, which includes MCSA, MultiChoice Africa, Showmax and Irdeto with shares that are listed and freely tradeable on the JSE.
PN shareholders that elect to participate in offer will retain shares in both PN and MCG. The offer by MCG to PN shareholders to exchange up to 20 percent of their shares for MCG shares is scheduled to close on 28 October. The final number of PN shares acquired and MCG shares to be issued in consideration of the acquisition of the PN shares will be announced following the closing of the MCG Offer.
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