Ramaphosa resigns from FirstRand

JOHANNESBURG – Prominent black businessman Cyril Ramaphosa has resigned from the board of South African banking group FirstRand because of a conflict of interest raised by an empowerment deal he is involved in.

South African firms are in the process of selling equity stakes to black-led groups in line with national efforts to do more to empower the black majority, still sidelined from the mainstream economy a decade after the end of apartheid. “Mr Ramaphosa, in his capacity as chairman of and significant shareholder in Millenium Consolidated Investments (MCI), has been offered an opportunity to participate in a BEE (black economic empowerment) transaction,” FirstRand said.It gave no details about the deal Ramaphosa, a former anti-apartheid activist, was invloved in.It said that MCI had been offered the opportunity to take part in a BEE deal with FirstRand but declined because of numerous conflicts that would arise.FirstRand’s share price was little changed by the news.It was up 1,5 per cent at 10, 20 rand (N$10, 20) by 1033 GMT, outperforming a one per cent gain in its local sector index.-Nampa-Reuters”Mr Ramaphosa, in his capacity as chairman of and significant shareholder in Millenium Consolidated Investments (MCI), has been offered an opportunity to participate in a BEE (black economic empowerment) transaction,” FirstRand said.It gave no details about the deal Ramaphosa, a former anti-apartheid activist, was invloved in.It said that MCI had been offered the opportunity to take part in a BEE deal with FirstRand but declined because of numerous conflicts that would arise.FirstRand’s share price was little changed by the news.It was up 1,5 per cent at 10, 20 rand (N$10, 20) by 1033 GMT, outperforming a one per cent gain in its local sector index.-Nampa-Reuters