HomeSouthern AfricaSiemens South Africa does new BEE deal

Siemens South Africa does new BEE deal

25 April 2012 – A broad-based black economic empowerment initiative by Siemens South Africa has provided a 15% percent shareholding of Siemens Limited to a new employee share ownership trust. Overall Siemens Limited’s (black economic empowerment) BEE shareholding remains at 30%.

The 15% shareholding previously owned by New Africa Millennium Telecommunications (Pty) Ltd has been bought by the newly established Siemens employee share ownership trust. Eligible previously disadvantaged employees of Siemens Limited and its subsidiary companies in South Africa will be the beneficiaries of this trust. “The employee share ownership trust is our commitment to broad-based black economic empowerment that will essentially allow eligible employees to share in the long-term success of the company,” Siegmar Proebstl, CEO of Siemens Africa says.

Siemens did advance the cause of BEE years before legislation was put in place to cover the issue. The company initiated its first empowerment deals in December 2000, with Sekunjalo Investment Holdings (Pty) Ltd and New Africa Millennium Telecommunications (Pty) Ltd (Africom). Up until now, each BEE partner owned a 15% shareholding in Siemens Limited.

Today, the employee share ownership trust holds the 15% shares previously owned by Africom, while Sekunjalo retains its 15% and Siemens AG in Germany owns 70% of Siemens Limited.

Evidence of the company’s commitment to B-BBEE can also be seen in the constitution of its executive management representatives at board level. Sabine Dall’Omo and Rita Nkuhlu have joined Siegmar Proebstl and Alex Mathole on the Siemens Limited board making this the company’s first executive management team with 75% women and 50% black representation.