File photo: Candice Chaplin.

Johannesburg – JP Morgan has reduced its shareholding in Capitec from 6,23% to 4,96%, Capitec announced to the Johannesburg Stock Exchange on Tuesday.

The announcement did not say what price, or average price, the global bank received, or whether the disposal signaled a lack of confidence in the bank or the South African banking sector.

In November last year JP Morgan had increased its beneficial interest in the ordinary shares of Capitec to 6,23%.

Capitec said it had informed the Takeover Regulation Panel.

Last week, the South African Reserve Bank said in its stability review that South African banks were profitable and well capitalised.