FREE TO GROW concludes landmark BEE deal
A black economic empowerment (BEE) transaction has been concluded by lifeskills and personal development training specialists Free To Grow.
"From 1 October 2005 Free To Grow will have 25.1% black shareholding,' says Riegert Nortje, Managing Director.
Free To Grow?s unique transaction includes the formation of a new company in which 40% (25.1% black and 14.9% white) of the shares now belong to existing Free To Grow Licensees through which Free To Grow delivers its services.
The new company has purchased Free To Grow at fair value as a going concern and commenced business on 1 October 2005.
Free To Grow has long recognized the importance of economic upliftment and opportunity creation.
"We have long spent a lot of time and energy exploring and developing a deal that will benefit all of our people, the business as a whole and at the same time fulfills our values of integrity, nurturing, innovation, sustainability, sincerity and passion for quality.
"We have therefore decided to reward our Licensees for their contribution to Free To Grow by offering them their shareholding in the new company at a nominal value. The new company will pay the purchase price making it possible for the Licensees to become shareholders without the financial risk of obtaining financing to buy the shares,' says Nortje.
The new ownership structure is an exciting opportunity for further growth and opportunity to enhance Free To Grow?s competitive edge in a highly competitive and rapidly growing market.
Free To Grow is a South African born and bred lifeskills and personal development training company that has trained over 25 000 people in the last ten years. Based in Cape Town, Free To Grow employs thirty eight facilitators nationally and in Namibia, Kenya and Tanzania.