Johannesburg - The Congress of SA Trade Unions and some of its affiliates make up a large portion of Sekunjalo Independent Media's (SIM) shareholding, the company said on Thursday.
Employees of Independent News and Media South Africa (INMSA), would get 10 percent of the shares in company, SIM chairman Iqbal Surve said in a statement.
INMSA is the biggest newspaper publisher in South Africa, with 18 titles, including iconic mastheads such as The Star, Cape Times and Pretoria News. IOL is the digital division of INMSA.
Independent News and Media in Ireland confirmed on June 17 that its shareholders had voted in favour of the sale of the media group to Sekunjalo.
“We know we can continue to grow and run this media group profitably,” Surve said.
He said: “The lead shareholders and main consortium members within SIM would include Sekunjalo Investment Holdings (Proprietary) Limited; trade union investment companies, the Congress of South African Trade Unions (Cosatu) investment company Kopano Ke Matlaka represented by Mr Collins Matjila, SACTWU Investments Group (Proprietary) Limited, represented by Mr Andre Kriel, the Food & Allied Workers Union (represented by Basebenzi Investments (Proprietary) Limited and Mr Katishi Masemola) and; a special purpose vehicle which will house a 10 per cent stake reserved for employees of the company.”
Surve said this lead shareholder grouping would represent 63 per cent of the consortium.
“The remaining 37 per cent of the shareholding in the SIM consortium will be made up of a number of broad-based value adding partners including the Black Business Chamber (Western Cape), represented by Mntuwekhaya Cishe and Sizwe Seun Ngqame various independent South African Women's business community organisations spread throughout the country, represented by Lindiwe Barbara Ngcobo, and Manemele Maria; Sekunjalo Digital Media(Proprietary) Limited ( which will assist in driving the digital and mobile growth strategy); the Mvezo Development Trust represented by Mr Mandla Mandela which will provide for the development of the communities of the Eastern Cape; the Umkhonto Wesizwe Military Association (through the Military Veterans Trust), Western Cape Development Trust that will focus on the provision of bursaries for journalists from black communities and some prominent entrepreneurs and business people such as, Mr Sandile Zungu, and media and advertising personalities Mr Tim Modise and Mr Groovin Nchabeleng from Blue Print Group.”
Surve added: “The Sekunjalo Consortium will at all times have control of INMSA with a number of funding partners sharing in the equity of the company.” - Sapa