At the outset, the purpose of the project was to raise a significant amount, enabling the primary group – rural and peri-urban black women – to participate in and benefit from the financial wealth being generated by institutions on, for instance, the Johannesburg Stock Exchange (JSE) and other bourses. The advent of the Covid-19 pandemic had a significant impact on the Fund, as it did on most other enterprises.
The initial capital was raised from groups inside the Nozala sphere of influence, and was broadened to attract other women’s groups approved by the Board, and thereafter institutional investors.
The share price, in order to create as wide a base as possible, was pitched at R2/share in minimum tranches of 50, in other words a minimum investment of R100 per packet of 50 shares in the first issue. It was increased to R3/share in the second issue in July 2021. After an initial opportunity for existing shareholders, the remaining shares were made available to female friends and female family members from 31 January 2022.
There is no limit to the amount of shares the empowerment groups or bona fidemembers in their personal capacity may purchase.
For purposes of good governance and accountability, monies accumulated is held by the project’s attorneys, De Klerk Mandelstam Inc, for strict management in their trust account. The First Mayibuye Board retains ultimate oversight responsibilities. Interest, subject to the repo rate, is earned while funds are in the trust account.
Please note that BanKonsult (Pty) Ltd being the project instigator and secretariat earns a commission of 1% on all monies procured, while the founding members by virtue of their risk component and provision of seed capital, received a total of 10% of the first share issue.
Recently, the Board decided to change its exclusive focus on mining, transport and agricultural, and to broaden its fields of interest to include the green energy sector.
