Old Mutual prepares for BEE

OLD Mutual Namibia will embark on a massive black economic empowerment (BEE) drive, saying it would be the largest in the country.

Its Chief Executive Officer, Johannes Gawaxab, and OM Strategy Director Bob Head briefed President Hifikepunye Pohamba about the plans at the end of last week. Both declined to give details to reporters afterwards.”It will be the largest BEE move in Namibia,” was all Head was prepared to say.”We briefed the President about the transformation plans of Old Mutual Namibia with regard to BEE regarding employment equity and ownership,” !Gawaxab added.!Gawaxab was instrumental in bringing Namibia’s financial sector to the negotiating table for the drawing up of a Financial Service Charter, which is to be completed by the end of this year.The Charter will require financial institutions to increase the number of black managers, make increased shareholding available to previously disadvantaged Namibians and to buy more goods from black-owned businesses.”We are making good progress with BEE at Old Mutual in South Africa,” Head said.Bob Head hails from the Old Mutual headquarters in London, United Kingdom, and was transferred to South Africa in 2003.He led Old Mutual’s black economic empowerment project in South Africa, which was announced in April 2005.Before joining Old Mutual, Head was chief executive of Britain’s top online bank.Old Mutual (SA) is the largest financial services company in South Africa and it owns majority stakes in Mutual and Federal and Nedcor, of which Nedbank is a subsidiary.Old Mutual SA committed itself to a minimum of 25 per cent black ownership by 2010, with a minimum of 10 per cent by way of direct ownership, according to that country’s Financial Service Charter, which was adopted by the financial service industry about three years ago.The remaining 15 per cent is to be achieved through direct or indirect ownership.The company will source 50 per cent of all its requirements from Black Economic Empowerment companies by the end of 2008 and targets 70 per cent of all procurement from BEE businesses towards the end of 2014.Both declined to give details to reporters afterwards.”It will be the largest BEE move in Namibia,” was all Head was prepared to say.”We briefed the President about the transformation plans of Old Mutual Namibia with regard to BEE regarding employment equity and ownership,” !Gawaxab added.!Gawaxab was instrumental in bringing Namibia’s financial sector to the negotiating table for the drawing up of a Financial Service Charter, which is to be completed by the end of this year.The Charter will require financial institutions to increase the number of black managers, make increased shareholding available to previously disadvantaged Namibians and to buy more goods from black-owned businesses. “We are making good progress with BEE at Old Mutual in South Africa,” Head said.Bob Head hails from the Old Mutual headquarters in London, United Kingdom, and was transferred to South Africa in 2003.He led Old Mutual’s black economic empowerment project in South Africa, which was announced in April 2005.Before joining Old Mutual, Head was chief executive of Britain’s top online bank.Old Mutual (SA) is the largest financial services company in South Africa and it owns majority stakes in Mutual and Federal and Nedcor, of which Nedbank is a subsidiary. Old Mutual SA committed itself to a minimum of 25 per cent black ownership by 2010, with a minimum of 10 per cent by way of direct ownership, according to that country’s Financial Service Charter, which was adopted by the financial service industry about three years ago.The remaining 15 per cent is to be achieved through direct or indirect ownership.The company will source 50 per cent of all its requirements from Black Economic Empowerment companies by the end of 2008 and targets 70 per cent of all procurement from BEE businesses towards the end of 2014.