Capitec CFO André du Plessis sees no material impact from PSG unbundling

PSG Group has announced that it is thinking about unbundling some or all of its shares in Capitec.

Following PSG Group’s cautionary statement that it is thinking about unbundling some or all of its 30.7 percent stake in Capitec, the bank’s CFO André du Plessis says that the group explained its reasons for considering the potential unbundling of all or part of their interest in the bank and that Capitec understands PSG’s reasons. 

“We are comfortable with their decision of unbundling us in part or in full, or if they should decide not to proceed with their action.”

He further explains that nothing will change as the bank is run independently and the unbundling will merely be a corporate action not affecting Capitec’s strategy or operations in any way.

"We have a good relationship with many of PSG’s shareholders, who would be the ultimate beneficiaries in the case of an unbundling and we are not aware of any reason why this should change,” André adds. 

PSG stated that the reason for its thinking was because new laws from the Prudential Authority could lead to its holding being defined as a conglomerate and increase its financial burden risk. 

“We do not foresee a material impact on Capitec as a result of the corporate action,” André concludes.