MTN BEE Deal

blunomore

blunomore

Honorary Master
Joined
Jul 8, 2007
Messages
26,789
Reaction score
21
Location
Not yet CT ...
Prospectus supposedly available as from today (although I read elsewhere it is only available from 30 August) at Post Offices and MTN retail stores.

Black investors will be allowed to subscribe at R20 for each MTN Zakhele share, but will be obliged to buy a minimum of 100 ordinary shares at R2 000, giving MTN Zakhele investors exposure to MTN. There will be no limit put on the number of shares that can be bought. However, to ensure a broad participation, shares will be allocated to applicants with the least number of Zakhele shares, with individuals prioritised.
Click to expand...

http://mybroadband.co.za/news/business/13896-MTN-BEE-deal-What-R20-per-share-means.html
 
Messugga said:
License to print money. So unfair. :(
Click to expand...

Not really Messuga.

A lot of these deals (Vodacom, SASOL, etc) were oversubscribed and people did not get all the shares they wanted.

Some people are relatively poor and can only afford to buy the minimum amount of shares (R2000 in this case) and the dividend is not really enough to live off. Quite the contrary!
 
wonder if I should get any what do u guys think is it gonna be worth it to get some of these shares?
 
Okay I got about R10K saved up do u think I should just buy shares with everything?
 
Pearson6 said:
Okay I got about R10K saved up do u think I should just buy shares with everything?
Click to expand...

You're asking the wrong person for investment advice :)

I cannot say if you should use your entire saved up amount but I do think getting the shares is worth it. Maybe use half of what you have ?
 
Just by the R2000 shares, last time I bought sasol shares and they only gave me the minimum amount. The did give me 6% interest pa back aswell (I think that was the correct %).

BEE shares isn't that provitable and you only get like +-R130 dividents back per year. And they will probably have your money for 10 years.

You can probably do better, but I haven't bought BEE shares yet that didn't pay out better in the end (above inflation).
 
Pearson6 said:
Okay I got about R10K saved up do u think I should just buy shares with everything?
Click to expand...

I did that with the previous shares from MTN, I kicked myself for not buying more, but ye Im doing the same this time.
 
phoneJunky said:
Just by the R2000 shares, last time I bought sasol shares and they only gave me the minimum amount. The did give me 6% interest pa back aswell (I think that was the correct %).

BEE shares isn't that provitable and you only get like +-R130 dividents back per year. And they will probably have your money for 10 years.

You can probably do better, but I haven't bought BEE shares yet that didn't pay out better in the end (above inflation).
Click to expand...

What 6% interest ???

They will not "have your money for 10 years". Most of thes deals work on the basis that for about the first 3 to 5 years, no dividend is paid out, because the loan used to subsidise the purchase for the BEE shareholders is being paid back. After that , you start earning dividends.
 
Messugga said:
License to print money. So unfair. :(
Click to expand...

If I'm not mistaken the Sasol deal was at R320 a share.

Currently trading @ R273.00.

I wouldn't go near it.

I do enjoy the legal apartheid that goes on in this country though.

Imagine the outcry of offering an investment to whiteys only.
 
Either way ... I will definitely get some for my kids as they don't even know the value of the money at the moment ... but what a great 18th or 21st b'day gift to them. That's at least 10 years growth in a relatively stable company.
 
Blunomore, I have bought shares from naspers, sasol and vodacom - all on the cheap options like R18 a share in a company that buys Sasol (or maybe it was the vodacom ones) shares for instance. And with those you sign in for 10 years. There was an option of buying the shares direct at a discounted price for - 10% that you would be able to trade with after 5 (maybe 3, can't remember) years.
 
Last edited:
phoneJunky said:
Blunomore, I have bought shares from naspers, sasol and vodacom - all on the cheap options like R18 a share in a company that buys Sasol (or maybe it was the vodacom ones) shares for instance. And with those you sign in for 10 years. There was an option of buying the shares direct at a discounted price for - 10% that you would be able to trade with after 5 (maybe 3, can't remember) years.
Click to expand...

If I understand you correctly, you are part of a consortium that bought.

If your deal with them is 10 years, that is between you guys.

The "official" deal if you buy straight from the company it is between 3 and 5 years as you menioned.
 
I went to the post office and they said you could only get the brochures on monday. The mtn zahkele shares seem to be in line with you buying as part of a consortium, if the shares is R20 per share. I haven't read the pamplet yet so I might be wrong.

Oh and the six percent was for when I oversubscribed and the payed me back the difference. They had the money for a month or two so the gave it back with interest - was quite nice of them.
 
Hi, I just picked up a copy of the MTN prospectus and I'm slightly confused with the definition of 'Black People'.

'Black People' mean any African, Coloured (included Chinese) and Indian persons who are natural persons and who (part c) became citizens of South Africa after the commencement date of the Interim Constitution, but who, but for the apartheid policy that had been in place prior to that date, would have been entitled to acquire citizenship by naturalisation prior to that date.

I arrived in South Africa on the 13/11/1993 and was 7 years old (minor). I was not born here, and only naturalised 5 years later.

Can someone assist me in finding out if I qualify or direct me to someone who could assist?
 
I think if you became a citizen before 1994 you are eligible, but I am not sure. So you naturalised in 1998?
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X