sasol in billion rand bee deal
10 September 2007

As part of the black economic empowerment transaction, Sasol plans to offer shares to the broader black public. Up to three percent of the 10 percent set aside for BEE will be offered to black South Africans.

The BEE deal includes the sale of a four percent stake to employees where about 27 000 employees were expected to benefit.

Sasol said in a statement released in parallel to its annual results that the transaction would be funded through a combination of equity and third party funding by Sasol.

Up to 1.5 percent of Sasol's issued shares would be put into a Sasol Foundation, which will be created to contribute in a meaningful way to growing South Africa's skills, particularly in science and technology. Said Pat Davies, CEO of Sasol.

The foundation will also engage in projects that will benefit historically disadvantaged communities throughout the country and communities near Sasol's operations in Sasolburg and Secunda, as well as women's groups will be targeted as beneficiaries.

"Sustaining the strong economic growth of the past decade is largely dependent on providing the majority of South Africans with the opportunity to develop relevant skills needed to build our nation," said Sasol Chairperson Peter Cox. The remaining 1.5 percent will be sold to selected black partners.

Sasol said it was working with the National Empowerment Fund to explore ways of reaching as many black South Africans as possible, especially those in the lower income groups.  Sasol is South Africa's the third largest company and while the group has expanded its operations globally, the bulk of its business and profits continue to come from South Africa.

I-Net Bridge, Sherilee Bridge, www.business.iafrica.com