FIRSTRAND BEE staff scheme shares successfully placed - CNBC Africa

FIRSTRAND BEE staff scheme shares successfully placed

Financial

by Trust Matsilele 0

FIRSTRAND BEE staff scheme shares successfully place. PHOTOS: cdn.efinancialcareers/morganlovell

The group said 12.6 million MMI ordinary shares had been successfully placed with both local and international institutional investors.

Sizwe Nxasana, chief executive of [DATA FSR:FirstRand Limited] said the group is extremely proud to have been able to generate such significant value for the participants in its BEE scheme, which overall represents a total of 23 billion rand.

(WATCH VIDEOUnpacking FirstRand’s BEE offering)

“We are particularly pleased that so many of our employees have benefited from the Group’s success over the past 10 years with a total of six billion rand of value created for almost 13, 000 people through the staff schemes,” said Nxasana.

“Also, whilst our BEE partners, WDB Trust and Investment Holdings, MIT and MIC Management Services and the Kagiso Charitable Trust have agreed to retain their shares until 2018, by the middle of this year significant value from the scheme will begin to cascade down to a very broad group of beneficiaries in the underlying trusts through dividends”.

These shares were sold on behalf of the beneficiaries of the FirstRand BEE staff scheme to settle their tax obligations and deliver cash value to the beneficiaries who elected to sell their shares after settling these obligations.

(READ MORE: FirstRand posts solid results due to growth in its 3 franchises)

The FirstRand shares were placed at a price of 46.00 rand and the MMI shares were placed at a price of 28.50 rand.

The company said, following the placement, the group’s direct BEE shareholding will be six per cent, comprising the FirstRand Staff Assistance Trust, the employees who elected to retain their shares and the BEE partners in the FirstRand Empowerment Trust.

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