SAB secures green light to list SAB Zenzele Kabili, which will own R5.4 billion worth of AB InBev Shares
The South African Breweries (SAB) is pleased to announce that its latest B-BBEE scheme, SAB Zenzele Kabili will be listed on the JSE on 28 May 2021. At a special virtual special general meeting held for members of its current B-BBEE scheme, SAB Zenzele, a quorum was secured with 8339 shareholders casting their votes and 95% of the shareholders who voted, voted in favour of the new scheme, satisfying the requirement for listing.
The SAB Zenzele Kabili scheme, which replaces SAB Zenzele, will own R5.4 billion worth of AB InBev Shares, the world’s largest beer maker. SAB Zenzele Kabili will be listed on the B-BBEE Segment of the Johannesburg Stock Exchange (JSE) to facilitate liquidity and broaden ownership to other B-BBEE investors, including qualifying SAB employees through a new employee stock ownership plan. The qualifying public will be able to trade from the listing post on the 28th of May 2021, through a JSE broker or existing trading platform. The listing price is set at R 40 per share.
SAB Zenzele shareholders have been given the option to reinvest a minimum of 63,5% or all of their remaining proceeds into the new scheme. Those who do so will henceforth become global shareholders, receiving 25% in dividends annually, without having to wait ten years before being able to sell shares or get paid out. Additionally, SAB Zenzele Kabili shareholders will be able to trade immediately after listing. SAB employees will need to wait five years before being able to trade.
SAB Zenzele which will reach maturity in May 2021 is the largest B-BBEE scheme in the history of South Africa in the fast-moving consumer goods sector, having reached a total maturation value of R9.7 billion. Launched in 2010, the landmark SAB Zenzele transaction endeavoured to give our retailer partners - taverners, bottle store owners, retailer customers and our employees, the life blood of our business, an opportunity at real ownership in a company that has brought South Africans together for over 125 years. Retailer shareholders who invested R100 in 2010 will have received a total pre-tax pay- out of R77,518 when the transaction fully unwinds later this month.
SAB Zenzele Kabili was envisioned to launch in April 2020. However, Covid-19 driven restrictions prevented the necessary shareholder AGM from taking place, and as such, the plans were postponed. While SAB Zenzele was a fixed term scheme, SAB Zenzele Kabili is perpetual and will remain listed indefinitely.
SAB Company Secretary Duncan Pask commented
“We are thrilled that the SAB Zenzele shareholders voted in favour of the new B-BBEE scheme. SAB Zenzele Kabili is set to deliver even more value over time, and we look forward to continuing to generate wealth for all of our retailer partners, employees and qualifying members of the public who invest in the scheme.”
