Blacks own 21% of top 100 firms on the JSE

BLACK South Africans hold at least 21% of the top 100 companies listed on the JSE‚ the exchange said yesterday as it released its annual report.

Trevor Chandler of consultancy Chandler & Associates‚ who headed the research team appointed by the JSE‚ announced the figure‚ adding that 21% of the available shares listed on the JSE still had to be assessed.

Of the 21% owned by black individuals‚ 9% are held directly‚ mostly through empowerment stakes‚ and 12% through mandated investments‚ such as pension funds and unit trusts.

“The research‚ done in phases on behalf of the JSE‚ aims to demonstrate what black South Africans own in the country’s largest listed corporations‚” Chandler said.

“Part of the 21% still to be analysed is likely [also] to be owned by black South Africans”

But Black Management Forum MD and executive head of corporate affairs at Virgin Mobile‚ Nicholas Maweni‚ said the numbers were unbelievable.

“I think blacks own less than 5% of the JSE‚” he said.

“We are in an economic downturn‚ yet we get these numbers suggesting much larger black ownership than in the past,” Maweni said.

“When last did you see a big deal in South Africa involving black ownership?”

Last year’s assessment revealed that black South Africans held slightly more than 8% of the top 100 companies through direct investment.

This year‚ researchers looked at 15-million share-ownership records to assess 75% of the shares owned through mandated investments.

The other 25% was not assessed‚ meaning that the total number of shares held by black investors through mandated funds is likely to increase in future studies.

JSE CEO Nicky Newton-King said yesterday: “As encouraging as the data appear‚ much still needs to be done to achieve an equitable landscape.” – BDlive