Sat Oct 22 03:54:26 SAST 2016

Nehawu reinvests dividends in its members

By unknown | Jan 22, 2007 | COMMENTS [ 0 ]

Zweli Mokgata

Zweli Mokgata

The investment arm of the National Education Health and Allied Workers Union's (Nehawu), the Nehawu Investment Company (NIC) has handed over a cheque for R5-million to the trade union to use in development programmes for its members.

The union plans to invest in members through bursary schemes and projects aimed at women's advancement.

NIC chief executive officer Sello Mkhondo said the cheque was part of an R11-million dividend from investments.

"This is our first capital raising exercise so far," Mkhondo said. "We want to ensure our members are well taken care of, and we've already sent some of our (women) members for training."

NIC last year raised over R50-million through the sale of key assets including a stake in Eyesizwe Coal, which is now a part of diversified miner Exxaro Re-sources (formerly Kumba Resources).

Mkhondo said the company wanted to raise a further R50-million this year.

"We will be doing a roadshow early this year to raise additional funding, and will then embark on an aggressive acquisition drive," he said.

"Since the inception of NIC, we have invested mostly by invitation, often missing some of the more lucrative deals. Now we will be proactively looking for investment opportunities.

"With about R100-million, we will be considering investment in health, education, financial services, transport and logistics, property and construction, hospitality and tourism markets," Mkhondo said.

He said NIC had amassed assets worth R420-million in its nine years of operation. NIC was planning a number of loyalty programmes for Nehawu's 200000 members.


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