Automotive parts group Midas is hoping to announce a 30 to 35 per cent black economic empowerment deal next month, chief executive Gordon Odgers said on Wednesday.
Automotive parts group Midas is planning to announce a 30 to 35 per cent black economic empowerment deal next month, chief executive Gordon Odgers said on Wednesday.
Midas, which delisted from the JSE after a R130-million management buy-out deal last year, aims to strengthen its dealings with government and quasigovernment organisations through the investment of funds by an empowerment partner.
According to , the empowerment deal will follow a 25 per cent investment in the company by Midas franchisees.
Odgers would not give values for either of the latest transactions, and said it was too early to reveal who was involved in the consortium that was planning to make the empowerment investment.
"There is an agreement in principle, funding has been arranged, we have identified a consortium and I hope we can announce the deal next month," said Odgers.
This would probably include the training and advancement of black employees and involvement in community responsibility projects.
Odgers added that Midas had reached its business targets for the first year after the management buy-out, but would not disclose any figures.
"We have grown our revenue and market share," said Odgers. "We have opened new franchises all over Africa. We have invested in inventory where we have identified new ranges into which we could expand”.
Original article from Car