Wiphold puts women centre stage | Private equity and BEE
THE PHILOSOPHY OF the South African policy of Black Economic Empowerment (BEE) is simple. Execution is not so straightforward. Working out how best to get equity in businesses of all shapes and sizes into the hands of blacks, women and the republic’s other historically disadvantaged groups is part of the broader BEE process of giving them the capital, jobs, and skills to take part in entrepreneurship and wealth creation. But this equity transfer is the single biggest preoccupation for South Africa’s M&A advisors and corporate financiers.
According to Ernst & Young’s annual South African M&A survey, there were 244 BEE deals worth a total of R52.9 billion ($7.8 billion) in 2004. That’s an increase in BEE deal activity of nearly one-third by volume and over one-quarter...
