The South African Breweries (SAB) has launched SAB Zenzele Kabili, a broad-based black economic empowerment (B-BBEE) scheme which will give platform for investors to own a stake in Anheuser-Busch InBev (AB InBev), the world largest brewer. SAB Zenzele Kabili will hold R5.4bn of Anheuser-Busch InBev (AB InBev) shares.
SAB Zenzele Kabili is SAB’s second empowerment scheme. SAB Zenzele, which was touted as the largest scheme in the history of South Africa’s fast-moving consumer good sector, will be reaching maturity this month.
SAB Zenzele retail shareholders will have the opportunity to reinvest a portion of their remaining proceeds into a replacement B-BBEE ownership transaction through the SAB Zenzele Kabili scheme, which will own R5.4bn worth of AB InBev shares.
Investors will become global shareholders, which will entitle them to the previlege of receiving 25 percent in dividends annually. In contrast, with SAB Zenzele, they had to wait 10 years for the shares to reach maturity to be sold or be paid out.
Highlighting the scheme’s value, Duncan Pask, the company secretary of SAB and AB InBev Africa, said, “The new scheme is more liquid, and with the underlying assets being AB InBev shares, shareholders will see real value and price transparency.”
Dr Penuell Maduna, the chairperson of SAB Zenzele, said, “The scheme gives shareholders a very wise investment”, an avenue to create generational wealth.”
The scheme is scheduled to be listed on 28th of May at the listed in the B-BBEE Segment of the JSE. at an initial listing price of R40 per share.
The price has been set to make the share accessible. Usually, AB InBev’s shares trade at about R1 000 a share.
The listing is subject to a shareholder vote of the new scheme to be held on the 10th of May.
Retail shareholders still need to vote in the new scheme at a meeting to be held on May 10 before the scheme can list in the B-BBEE Segment of the JSE.
The first priority in the SAB Zenzele Kabili Scheme is SAB’s employees, but with time, it will be open to the general public.
