The South African Reserve Bank (SARB) has announced that 149,200 shares will now be open to purchase for all eligible South Africans wishing to\u00a0acquire a stake in the financial entity.<\/p>\n
This follows a 2016\u00a0High Court declaration which ordered SARB shareholders and their associates to sell shares that were in excess of the statutory limit of 10,000 shares per person.<\/p>\n
“The SARB would like to use this opportunity to diversify its shareholder base by encouraging all eligible South Africans to take up this opportunity to own shares in the central bank of the country,” the bank said in a statement.<\/p>\n
“The concept of private shareholding in the SARB is based exclusively on the principles of shared community representation and participation in the governance of the SARB for the purposes of increased independence, transparency and accountability in the interest of all South Africans.”<\/p>\n
The SARB noted that it functions in the public interest and is not driven by a profit motive. However, subject to there being sufficient resources to do so, SARB shareholders will be paid a dividend of 10 cents per share, an amount which is stipulated by law.<\/p>\n
The SARB currently has a share capital of R2 million which is divided into 2 million ordinary shares of R1 each. As at 1 March 2017\u201a SARB shares traded at R3.00 per share.<\/p>\n