The sale by the IDC of shares that it holds in a company is based on a number of considerations, including whether such sale is warranted given the IDC strategic mandate. The discussions between the IDC and the investor covered matters that are covered by the IDC mandate, including working capital commitments, market access commitments including on exports, transformation, incorporation of minority protection rights and development of industrial opportunities in South Africa, including in green technologies. The shareholder representative supported the approach of the IDC in respect of securing appropriate terms on these matters that would further the IDC mandate.
We are advised by the IDC that the prospective buyer cited their reason for withdrawing from the deal as the weakening global economic conditions, which have led them as a company to reconsider their investment decisions.