Investments

Sector Focus


Investments Criteria

Investments criteria that is applied to potential investments would consist of:

    1. Significant Equity stakes
    2. Broad Based Empowerment value add from a BBMIH perspective either in the form of:
      1. Increased revenue opportunities through BBMIH and Community stakeholder relationships
      2. Cheaper cost of capital or enhancing the capital structure of the target organisation
    3. Do also consider co-investor opportunities

Mandate

However, “BBMIH” has an overarching mandate to execute investments that are:

    1. Developmental in focus
    2. Job creating / Labour Intensive
    3. Skills development
    4. Enterprise development
    5. Ensure sustainable profits

Completed Transactions

BMIH has completed the following transactions:

Alpha Cube Capital (Pty) Ltd

  • Alpha Cube Capital is a boutique or owner- managed asset consulting and portfolio management business that was founded in 2005.
  • Alpha Cube Capital was approved as a Financial Services Provider with the Financial Services Board in March 2008 and operates under a discretionary Category I and II licensing approval.
  • Alpha Cube Capital’s core offering comprises:
    • Employee benefit consulting to the institutional market;
    • Asset consulting to the institutional and corporate market;
    • Product development and engineering;
    • Cash and treasury management to the corporate market; and
Segregated equity portfolios to the retail market, high net worth individuals and directors of institutional clients.

Nutritional Holdings Ltd / Nutritional Foods (Pty) Ltd

  • Established in South Africa and currently listed on the Altx
  • Nutritional Holdings (“the Group”) operates in a competitive industry with its revenues being well diversified by product mix, geography as well as urban and rural spread.
  • Nutritional Foods is a division of Nutritional Holdings Limited
  • The majority of the Group’s brands are well recognized in the mass market segment which caters for the LSM 3-6 sector with sizeable market share.
  • The Group has an established manufacturing base and a distribution network in Southern Africa.
  • Nutritional Foods is a manufacturer and distributor of a large range of fortified dry food products and catering ingredients to the wholesale catering market which includes schools, hospitals, prisons and the mining sector.
  • Nutritional Foods manufactures a range of breakfast cereals, soups and soya products for the mainstream retail and wholesale trade and with insatiable capacity in its plant Nutritional Foods also specialises in contract manufacturing for 3rd. party principles.

Ekuzeni (Pty) Ltd

  • Ekuzeni is a Randfontein-based manufacturer/distributor of decorated sponge cakes (85% of total revenue), cold deserts & hot puddings (15% of total revenue)
  • The business was established by two sisters in a 50:50 partnership in 2003. Since then, the business has grown from manufacturing ~300 cakes per day in a single facility to a capability of 12,000 to 20,000 cakes per day across three facilities (Randfontein, Durban & PE)
  • The company supplies mainly the following formal retail customers:
Checkers –all regions except W Cape (~50:50 split between private label & Ekuzeni brand)
SPAR –all regions except W Cape (~70:30 split between private label & Ekuzeni brand)
Massfresh –Gauteng/Limpopo & KZN (~50:50 split between private label & Ekuzeni brand). Supply to Massfresh is recent, and currently being rolled out nationally.
PnP –Gauteng only (100% Ekuzeni brand).
Others –private/independent retail franchises

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