Fedusa tackles fund concerns

Labour federation Fedusa said on Saturday it would consult rival federations over withdrawing an investment mandate the workers’ pension fund has with asset managers, the Public Investment Corporation (PIC).

The PIC manages SA government employee retirement funds and has been in the spotlight recently after reports the finance ministry requested money from the pension fund to bail out struggling state firms. Finance Minister Malusi Gigaba has denied making such a request.

Gigaba on Friday asked the PIC to conduct an investigation into any concerns over irregularities.

On Saturday, the head of the Federation of Unions of South Africa (Fedusa) said they would urgently consult all their structures over the pension fund concerns.

“The union federation will propose that organised labour review and possibly withdraw the investment mandate the Government Employees Pension Fund (GEPF) has with the PIC,” said Dennis George, Fedusa general secretary. – Reuters

Moneyweb

The proposed merger between SA’s largest cement producer PPC and its unlisted rival AfriSam might be scuppered for the second time, as several shareholders have come out against it.

Prudential Investment Managers, Value Capital Partners and Visio Capital Management are opposing the merger.

Prudential, with a 14% shareholding, has expressed its concerns to PPC and AfriSam management, arguing it sees more value in PPC being a standalone business.

Prudential’s Chris Wood said PPC has made significant investments in new and more efficient productive capacity in SA and the rest of Africa, which have the potential to double its earnings and