PINNACLE BOOSTS BEE PROFILE IN DEAL WITH AMABUBESI
SA Computer maker Pinnacle Technology has struck a black empowerment deal to sell 20% of its shares to Amabubesi, an organisation that is led by former national director of public prosecutions Bulelani Ngcuka. Amabubesi will buy 37,2-million Pinnacle shares for R1 each, well down from the 145c at which the shares were trading this week.
Pinnacle CEO Arnold Fourie said the negotiations began in June when the price was below 80c. The deal is being financed by an investment fund of Old Mutual Life Assurance, a company that is managed by Amabubesi.
Amabubesi will appoint two nonexecutive directors to the board, and will actively participate in Pinnacle's operations and help to raise its profile as a black-empowered player.