Companies Act to be amended: DTI

Posted on August 25th, 2017
Biz News

Today's Top Entrepreneurship and Business Stories (25 August)

 

The Department of Trade and Industry (the dti) started the process to amend the Companies Act of 2008, it said on Thursday.

Dti Acting Deputy Director General for Consumer and Corporate Regulations, MacDonald Netshitenzhe, made the announcement at the International Company Law Seminar.

He said that it was a result of the company law reform aimed at “instilling corporate accountability, transparency and reduction of regulatory burden”.

Amending the Act would “align problematic areas and enhance better interpretation” of the provisions of the Act, Netshitenzhe said.

“We are going to Cabinet for broader consultations. Stakeholders and role players should be ready to engage during the public consultations to ensure policy objectives become a success. It is important for the dti to engage, so as to understand the sections that are posing a challenge to practitioners as well as the economy at large. This is meant to ensure that the proposed amendments to the Companies Act are in line with global trends.”

The Act encourages economic stability through good governance and will enhance investor confidence and international and domestic competitiveness in the South African economy, Netshitenzhe said.

“Amongst others, the highlight is on three issues that may be relevant to this seminar for consideration, namely business rescue, social and ethics committees and the role of the Companies Tribunal. The dti commissioned research on various cases of business rescue. The research revealed the fact that if business rescue ends in liquidation, it does not necessarily mean the rescue was a failure,” said Netshitenzhe.

He said that when measuring the success of business rescue, the number of companies that emerged from business rescue as compared to those that have been liquidated must not be a barometer.

The establishment of social and ethics committees in companies was important not only to protect the communities and the environment where companies operate, but for the protection of shareholders’ interests, Netshitenzhe said. (via African News Agency)

Long4Life Acquires Inhle Beverages For R360M

Long4Life, an investment holding company with a lifestyle focus, has agreed to acquire 100% of Inhle Beverages for up to R360 million in cash and shares.

Inhle is a contract packaging (co-packaging) business located in Heidelberg, Gauteng, and specialises in the canning and bottling of carbonated soft drinks, energy drinks and natural mineral water, using cans and polyethylene terephthalate (PET).

A family business, established in 2003 with one production line, today it is the second largest beverage co-packaging business in South Africa with seven production lines, and with considerable scope for expansion. It employs around 300 staff and undertakes co-packaging on behalf of an established client base, which have been growing respective volumes at a steady pace over the last few years.

The existing shareholders, the Botha family, and its management team will continue to be employed in the business.

The purchase consideration will be settled by way of a combination of cash and Long4Life shares, the latter based on Long4Life’s traded volume weighted average price (VWAP) in the five days prior to the closing date.

Long4Life chief executive, Brian Joffe, commented, “This acquisition fulfills the broad definition of our investment criteria in the leisure space. It presents a strategic opportunity from which we can build a beverage business of scale, through both organic growth and bolt-on acquisitions.

“Immediate access to the largest market in the country, as well as its proximity to surrounding territories, positions the company well from an expansionary point of view.” (via Bizcommunity)

Last Week To Win R5000 To Spend At Tshimologong Precinct – Survey Closes 31 August 2017

The JCSE is looking for the following to participate in its 2017 JCSE ICT Skills Survey: practitioners in the information and communications technology field, from students to CIOs, hackers and enterprise architects, as well as employers who employ or contract with people who have ICT skills.

Every valid registration for the survey will be entered into a draw for a R5 000 voucher that can be redeemed against any Tshimologong Digital Innovation Hub activity. These range from courses and seminars to conferences and incubation.

The draw will take place in September 2017 and the voucher will be valid for 12 months from date of issue. The voucher can be used by you personally, by your company or can be donated to another beneficiary chosen by you.

The JCSE is collecting data for its 8th ICT Skills Survey. They need to gather the latest information on how skills are acquired, how skills are practiced and how skills evolve in South Africa’s ICT environment.