Golding’s Geomer ups stake in Esor

Geomer Investments — an investment company associated with former HCI chairman Marcel Golding — has increased its stake in construction and engineering group Esor to 42.39%. Geomer will extend a mandatory offer to Esor minority shareholders at 38c per share. The government has retreated from its proposal to merge SA’s three state-owned airlines, with Public Enterprises Minister Lynne Brown saying a full merger is “highly unlikely” but backing the introduction of a private equity partner with a stake of up to 25% in a new company that will hold South African Airways (SAA), Mango and South African Express as subsidiaries.

Her views mark a shift from the approach of Finance Minister Pravin Gordhan, who said in his February budget speech that the government did not need to be invested in four airlines (including minority-owned South African Airlink).

“Minister Brown and I have agreed to explore the possible merger of SAA and South African Express under a strengthened board, with a view to engaging with a potential minority equity partner and to create a bigger and more operationally efficient airline,” Gordhan said.

Then in April, Deputy Minister of Public Enterprises Bulelani Magwanishe told Parliament that