(Nigel Jared/Getty Images)
In a slow day for corporate news, Brait shareholders have given the nod for a hefty rights issue, while Sibanye has concluded its latest round of gold job cuts. In international news, the US government has awarded $176 million (about R3.3 billion) to Moderna to advance development of its bird flu vaccine as outbreaks hit dairy herds.
Shareholders of Brait, the private equity firm partly owned by billionaire Christo Wiese, on Tuesday voted unanimously in favour of all resolutions at an extraordinary general meeting, paving the way for a hefty recapitalisation plan that prompted a share price slump when first announced in June. The plan of the group, now valued at about R1.3 billion on the JSE, includes a R1.5-billion rights issue, a three-year extension of bond repayments currently due at end-2024, and a partial debt reduction. The move comes as the group rethinks plans to exit its about R15-billion portfolio of assets by the end of 2024 as it looks to unlock value for its shareholders, saying recently this capital raise will allow it to buy time to maximise value creation. The group’s shares were up about 2% on Tuesday afternoon but have lost more than two-thirds of their value in the past year.
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