MTN Zakhele lists on JSE BEE segment
MTN Zakhele has become the first BEE scheme to list on the Johannesburg Stock Exchange’s amended BEE segment.
|||Johannesburg – MTN Zakhele has become the first broad-based black economic empowerment (BEE) scheme to list on the Johannesburg Stock Exchange’s amended BEE Segment.
The entity listed its ordinary shares as BEE securities on the Johannesburg Stock Exchange (JSE) on Thursday.
More than 14 million shares valued at over R1,2 billion are owned by about 102 000 black investors.
MTN Zakhele Chairperson Sindi Mabaso-Koyana said the move would “provide shareholders with regulatory certainty for trading their MTN Zakhele shares”.
He noted the listing occurred after the Financial Services Board changed its policy regarding the regulation of all providers of over-the-counter share trading platforms for facilitating trading in their own shares.
The listing would enable individual shareholders who already own shares, and potential buyers to trade in shares without necessarily needing to appoint a stockbroker.
Mbaso-Koyana said investors would also have the option to use their own service providers and stockbrokers “provided they have been verified to trade the shares in this manner”.
Donna Oosthuyse, JSE Director of Capital Markets said: “The JSE believes it is extremely important for holders of BEE scheme shares to be able to trade flexibly and realise their value”.
Oosthuyse said for some time the JSE has been reviewing its BEE Segment trading model to see if it could accommodate more BEE issuers and their investors.
“Clients and prospective clients are telling us that our new model works. We are pleased that we have found a route that works for MTN Zakhele.”
Mbaso-Koyana said MTN Zakhele worked closely with the JSE to achieve key milestones toward this listing.
“The BEE vehicles require certainty about the black ownership of their shares so it has been necessary to modify listings requirements,” he said.
Between November 2013 and October 2015 these shares changed hands on the MTN Zakhele over-the-counter trading platform. The OTC trading platform closed on October 16, 2015 at R102,30 per share, leaving the market capitalisation date at R8,2 billion.
While shareholders would be able to continue buying and selling shares through the existing platforms, Mbaso-Koyana said new platforms were being looked at.
He said trading in MTN Zakhele shares “remains restricted to eligible black people or black groups until November, 24 2016.”
African News Agency