By Gugu Lourie
“Wait, please put your DStv on pause. It’s going to be a jolly good day for Phuthuma Nathi investors on 9 September 2015. “
Black investors in Phuthuma Nathi, the broad-based black economic empowerment arm of pay-TV operator MultiChoice, will share more than R1.2 billion in dividends.
“(MultiChoice) again created significant value for stakeholders and recorded positive financial results despite material shifts in its operating environment. The management team continues to address risks and material issues proactively to ensure great entertainment, sustainability and value creation,” Nolo Letele, the chairman of MultiChoice, said in the group’s 2015 annual report.
Letele added that Phuthuma Nathi was one way in which MultiChoice invest in the future of the South African society.
The pay-TV operator will pay Phuthuma Nathi a gross ordinary dividend of R827 million in 2015 versus R373million and R75 million in ordinary dividends in 2014.
MultiChooice will also pay Phuthuma Nathi 2 scheme shareholders R413 million in gross ordinary dividend compared to R187 milllion and R38 million in ordinary dividends in 2014.
The company didn’t declare special dividend in 2015 versus R264 million paid to Phuthuma Nathi and R180 million paid to Phuthuma Nathi 2 in 2014.
Both Phuthuma Nathi and Phuthuma Nathi 2 investors will receive a total net dividend of 1 561, 48 cents per share to be paid on 9 September 2015.
In December 2011 shares in Phuthuma Nathi began trading publicly.
MultiChoice said investors who invested in the BBBBEE scheme and still held their shares until 31 March 2015 have received a return of over 1 400%, including dividends.
The pay-TV operator said that about 70% of black investors have not sold their share since inception of the schemes.
The principal activities of MultiChoice and its operating subsidiaries are the operation of pay-TV and Internet subscriber platform.
The pay television and internet company said it had increased its pay-TV subscribers by 573,000 in the year, pushing its total figures to 5.4 million households.
“We will continue to focus on giving our customers access to a world of entertainment – anywhere, anytime and on any platform. We will enhance our offerings by inventing original products, investing in and developing new technologies, while continuing to improve our customer service initiatives,” said the firms’ CEO Imtiaz Patel.