Black Economic Empowerment – Amended Company Laws will stimulate Deal Activity

20 May 2008 Deneys Reitz

Historically, our company laws prohibited a company from providing financial assistance for the purchase of its own shares. This restriction was aimed at preserving the company’s capital and protecting the minority shareholders and creditors of the company. However, in recent years, it also had the effect of hampering the implementation of black economic empowerment in South Africa in that empowerment partners could not look to the company for financial assistance to take up shares in the company.

Click here to read more (PDF file 147kb)


Bookmark and Share
Quick Polls


Is the industry becoming increasingly challenging for advisers?


A E fanews magazine
FAnews November 2015 Get the latest issue of FAnews

This month's headlines

How to raise above the competition
Warranties: beware of booby traps
Drown out the noise and don’t let regulations kill creativity
Longevity is real… are we innovative enough?
Medical Schemes average increases
Subscribe now