To avoid being labelled a financial conglomerate, PSG is considering unbundling part or all of its stake in Capitec Bank.
PSG owns 30.7% shareholding in Capitec Bank, which is valued at R46 billion.
The shareholding represents more than two-thirds of PSG’s assets.
PSG informed investors on Wednesday morning that it is investigating, and is seriously considering, the potential unbundling of some or all of its shareholding in Capitec
“The rationale for the potential unbundling is that: certain new legislation may potentially deem PSG Group (as a material shareholder in Capitec) to be a financial conglomerate, which will substantially increase the administrative burden,” the company said.
