THURSDAY, 10.00AM
BLACK empowerment group New Africa Investments Limited is aiming to take “unassailable control”of Metropolitan Life in the current financial year, Nail MD Jonty Sandler said on Wednesday.
Stadler was speaking at the unveiling of Nail’s results for the year to end September. Nail increased headline earnings 47% to 27,48c a share, or R127-million.
Nail and Metlife issued a joint cautionary announcement on Wednesday. Sandler said Nail, which already holds 34,9% of the life assurer, will probably offer Metlife shareholders the right to trade their shares for Nail N shares in a bid to raise its stake in Metlife over 50%. He added that although Nail has an option to purchase 8,3% of Metlife’s shares from Sanlam for cash, the group is unlikely to exercise the option in the short term. Nail acquired 5,6% of Metlife from Sanlam during the past year for R376-million.
Metlife was the largest contributor to Nail’s headline earnings in the year to September 30, accounting for 81%. Other earnings contributors were The Sowetan (4,3%), New listing African Merchant Bank (4,1%) and 3,4% from Nail’s 10% holding in cellular network MTN.
In the light of the group’s recent performance, Nail shares are at an all-time high.