Non-profit now owns the M&G

Mail & Guardian - - News -

The past four years have been an uphill bat­tle for M&G Me­dia Lim­ited, with re­trench­ments, de­clin­ing print cir­cu­la­tion and dwin­dling ad­ver­tis­ing rev­enues.

By the end of 2017, Trevor Ncube, the for­mer ma­jor­ity share­holder, said he was no longer in a po­si­tion to in­vest in the pub­li­ca­tion.

The pa­per’s bleak fi­nan­cial po­si­tion was blamed on mis­takes, in­clud­ing losses in­curred by the es­tab­lish­ment of the dig­i­tal news pub­li­ca­tion M&G Africa.

Mur­murs of liq­ui­da­tion and fail­ure to pay con­trib­u­tors and cred­i­tors were rife amid talk of in­vestors with po­lit­i­cal af­fil­i­a­tions.

Dur­ing the Gup­taleaks rev­e­la­tions it came to light that the no­to­ri­ous Gupta fam­ily was in­ter­ested in the pa­per and was con­sid­er­ing pay­ing about R20-mil­lion for it.

At the time the Me­dia

De­vel­op­ment In­vest­ment Fund (MDIF) owned 10% of the com­pany. In De­cem­ber 2017, the MDIF in­creased its share­hold­ing, mak­ing it the ma­jor­ity share­holder, in­ject­ing much-needed cap­i­tal. Chief ex­ec­u­tive Hoo­sain Kar­jieker has a mi­nor­ity share­hold­ing and staff hold 10%.

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