Medicines and Related Substances Act, 1965
R 385
Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)Codes of Good Practice on Black Economic EmpowermentCode Series 100: Measurement of the Ownership Element of Broad-Based Black Economic EmpowermentStatement 103 : Recognition of Equity equivalents for multinationals6. Specific Rules on Multinationals |
6.1) | Any contributions towards the ownership Element of B-BBEE made by Multinational Businesses or South African Multinationals are measurable against the value of their operations in the Republic of South Africa. |
6.2) | In calculating their ownership score, Multinational Businesses and South African Multinationals must apply the Exclusion Principle to any portion of the business value of their South African operations gained from non-South African sources. A Standard valuation method must be used to determine the value of the South African operations. |
6.3) | In calculating their ownership score. Multinational Businesses may recognise sales of Equity Instruments in non-South African Enterprises to black people, on the following basis: |
6.3.1) | the non-South African Enterprise must form part of the chain of ownership between the Multinational Business and its eventual holding company; and |
6.3.2) | the transaction must comply with South African exchange control requirements; and |
6.3.3) | the percentage of the value of the Equity Instruments sold to the value of the Multinational Business represents the recognisable black claim to Economic Interest; and |
6.3.4) | the percentage of Exercisable Voting Rights ceded to the buyers of the Equity Instruments in the Multinational Business represents the recognisable black right to Exercisable Voting Rights; and |
6.3.5) | the rights of ownership in the Equity Instruments are comparable to rights that would have accrued had the Equity Instrument been in the Multinational Business. |