TUESDAY, 11.30AM
JOHNNIC’s Ikageng share scheme, involving a R600-million offer of 9,1-million shares in the industrial holding group to “previously disadvantaged” small investors, was 3,5 times oversubscribed, Ikageneg scheme chairman Hazel Ralefeta said on Monday.
Launched by the National Empowerment Consortium, Johnnic’s new black controllers, in April, the Ikageng scheme raised R190-million before its close on Friday.
Johnnic chairman Cyril Ramaphosa described the success of the share scheme as “a great achievement” which had set “a new benchmark for genuine black economic empowerment”.
“We often talk about lack of savings, but Ikageng shows that, given the challenge and the right vehicles, people will save. Black people are willing and ready to take their economic empowerment into their own hands,” said Ramaphosa.
The share offer involved 2,7-million shares offered to members of the black, coloured and Asian public, which was 6,8 times oversubscribed, and 6,4-million shares offered to smaller members of the National Empowerment Consortium which was 2,1 times oversubscribed. Shares will be allocated within the next four weeks, with smaller investors being given priority.