Shanduka Group, controlled by leading black businessman Cyril Ramaphosa, has acquired a vast economic interest in the telecommunications group.

Shanduka has been allotted R187m worth of shares in MTN Zakhele, the group’s new empowerment offer.

And Ramaphosa is not the only MTN director taking a big bet of the group’s future growth.

Despite the fact that he’s due to leave MTN in a few months, outgoing president and CEO Phuthuma Nhleko has acquired R40,2m worth of Zakhele shares.

According to MTN, black staff and directors of MTN were entitled to participate in the empowerment offer on “precisely the same terms as members of the black public”.

MTN on Friday said that it had raised R2,8bn through Zakhele. It received applications from more than 120 000 individuals. The scheme was 1,7 times oversubscribed.

A total of 80,9m Zakhele shares were offered to members of the black public at R20/share.

MTN says one of its primary objectives of the offer was to achieve “truly broad-based empowerment”. All valid applications for subscription amounts between R2 000 and R25 000 were accepted in full.

In respect of valid applications for subscription amounts in excess of R25 000, applicants will be allocated that amount, plus a percentage of the balance of shares applied for.

About 94% of all applicants received all of the MTN Zakhele shares they applied for. Refunds will be paid to applicants who were not successful, or only partly successful. — Duncan McLeod, TechCentral