Two high-profile IT personalities, ICT empowerment charter working group chairman Dali Mpofu and chairman of the Women in ICT Forum Xoliswa Kekana, are members of the new empowerment consortium that has bought a 15% stake in Deutsche Bank`s local operations.
Deutsche Bank South Africa announced yesterday that it has reached an agreement to sell 25% of its South African incorporated operations to Uthajiri Financial Services and black staff.
In terms of the agreement, Uthajiri will acquire a 15% stake in Deutsche Bank SA and the black staff currently working at the bank will hold the remaining 10%.
Uthajiri, a wholly owned subsidiary of Uthajiri Investment Holdings, will be represented by Mpofu as chairman and Modise Motloba as deputy chairman on Deutsche Bank SA`s board as non-executives.
"This is a perfect complementary relationship for both parties, considering the leading position Deutsche Bank holds in SA, combined with Uthajiri`s own financial and investment skills," says Mpofu.
He says the consortium`s basic principle is that as a young empowerment company in this sector, it makes sense to partner with an internationally reputable brand.
Mpofu adds that the investment in Deutsche Bank will give Uthajiri a significant entry point into the financial services sector and position it to develop future growth prospects.
"We hope this will be a long-term relationship, and that the deal will pave the way to other competitive areas of the market, as well as signal the significance of empowerment in the second decade of our democracy."
He says some of Uthajiri shareholders have invested money "out of their own pockets" to show how serious they are about the transaction.
Deutsche Bank will provide the bulk of the finance to secure the purchase of the 25% stake.
A joint steering committee will be established with equal representation. The committee will facilitate initiatives such as skills transfer, training and development, procurement, new business opportunities, strategy and building a culture of empowerment and diversity.
Uthajiri will also nominate a trustee to the Deutsche Bank Africa Foundation. The foundation contributes R6 million annually to corporate social investment projects focusing on education, job creation and orphan care.
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