Izazi, a specialist consulting and financial services IT solutions provider, has sold a 25% stake in its business to the Mineworkers Investment Company (MIC) for an undisclosed sum.
The company says the deal improves its black economic empowerment credentials, making it 65% black owned compared with 53% previously.
MIC will have one seat on the Izazi board and will collaborate with management in determining future growth and development strategies.
"The transaction is commercially and socially driven where our strategic alignment with MIC is a major stepping stone to strengthening our position in the financial services sector in SA," says Izazi CEO Jay Pather.
MIC CEO Paul Nkuna says the deal is part of MIC`s longer-term strategy of investing in high-yielding cash-generative businesses.
"We were impressed by Izazi`s compound annual growth of more than 45% over the last three years, a growth rate we believe is sustainable," he says.
MIC, a wholly owned subsidiary of the Mineworkers` Investment Trust, was incorporated in 1995 and provided with seed capital of R3 million. Since then, it has disbursed about R52 million to the trust, which has used the money to fund its social programme.
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