Telkom’s Jabu Mabuza to buy 10% of Sphere
Telkom chairman, Jabu Mabuza is set to buy a 10% interest in black controlled investment company, Sphere Holdings, while joining as executive chairman.
The purchase marks the first significant commercial foray for Mabuza since he left Tsogo Sun, where he was the chief executive.
Mabuza will have a ‘hands on’ role in the business with a specific focus on: capital raising, deal origination and adding value to Sphere’s existing portfolio, Sphere said.
Sphere Holdings, which is led by co-founder Itumeleng Kgaboesele, a former investment banker and charted accountant, was founded in 2003 and is a professional investment company with a successful track record.
The company has a portfolio of interests in industrial goods and services firms such as Babcock Engineering, Babcock Target Plant Services, Pandrol and Honeywell.
Commenting on the announcement Kgaboesele said: “We are extremely delighted that Jabu Mabuza is joining us and we are humbled by the trust he is showing in us through the significant investment he is making in Sphere. He will help drive a more ambitious, acquisitive and operationally orientated Sphere as we seek majority holdings in mid-sized companies.
“We now have the balance sheet, the credibility and the capabilities to play a role in the transformation and diversification of the economy by building a black controlled company that is able to gain control or exercise significant influence in industrial companies.”
According to Kgaboesele, Sphere has capital to deploy. “In addition, we will look to raise R500m-R1billion in new capital to acquire majority or leading stakes in mid-size companies with an enterprise value of between R500m and R1billion.”
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