Raubex | BEE

BEE

BEE is a central part of the South African Government’s economic transformation strategy. A multi -faceted approach to BEE has been adopted which aims to increase the number of black people that manage, own and control South Africa’s economy. The three core elements of the South African Government’s BEE policy are: direct empowerment through ownership and control of enterprises and assets; human resource development and employment equity; and indirect empowerment through preferential procurement policies aimed at ensuring that black people benefit from South African tenders.

Several industries have taken the initiative to set their own specific targets related to, inter alia, the three core areas of BEE. These initiatives have been incorporated in transformation charters, some of which are presently in draft form. The transformation charters each contain a scorecard against which industry members are measured on their BEE progress. The scores achieved are important in competing and tendering for business from the public and private sectors. The scorecards have a cascading effect, with each commercial enterprise requiring a measure of BEE compliance from enterprises with which they do business, in order that they too can reach their BEE targets.

Raubex has two main anchor BEE shareholders in Matlapeng Holdings (which holds its Raubex shares through BVI, a subsidiary of Matlapeng) and Kenworth which currently own, collectively, 42 615 384 shares (23,34%) in Raubex’s share capital, post-listing and acquisitions, whilst other strategic BEE shareholders own 3 162 384 shares (1.72%) in Raubex’s share capital, bringing the total BEE shareholding to 25.06%.

Matlapeng Holdings (Proprietary) Limited is a broad-based BEE company, majority owned by Kopano Ke Matla (COSATU’s investment company) and the Black Managers Forum, representing two million HDSA people of which approximately 30% are HDSA women. Kenworth is the investment company of Freddey Kenny, an HDSA individual active in the construction sector. Both Matlapeng and Kenworth are represented on the Board of Raubex. Both Matlapeng and Kenworth have near unencumbered shareholdings in the share capital of Raubex and have agreed to a five-year “lock-in” period post-Listing, so as to maintain Raubex`s BEE shareholding.

All of Raubex’s BEE shareholders carry full equity and voting rights participation making them actively involved partners in the management and operations of Raubex.