Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

Codes of Good Practice on Black Economic Empowerment

Integrated Transport Sector Codes

Domestic Aviation Sub-Sector Code for B-BBEE

3. Indicators of Empowerment

3.2 Equity Ownership

3.2.5 Private Sector Stakeholders

Purchase

Private Sector Stakeholders as important participants in the industry undertake to:

3.2.5.1

Pro-actively seek opportunities to broaden the ownership base of their business entities.

3.2.5.2

Ensure that least 25%+1 of the voting rights is held by black people over the next 5 years.

3.2.5.3

Ensure that 10% of the voting rights are held by black women over the next 5 years.

3.2.5.4

Ensure that 25% of the economic interest in the measured entities is enjoyed by black people over the next 5 years.

3.2.5.5

Ensure that 10% of the economic interest is enjoyed by black women over the next 5 years.

3.2.5.6

Ensure that 2.5% of the equity shareholding is in the hands of Black Designated Groups, Employees Share Ownership Schemes, or Broad Based Schemes over 5 years.

3.2.5.7

Ensure that at least 60% of the equity in black hands is fully paid over the next 5 years.

3.2.5.8

Develop creative financing mechanisms to facilitate funding for BEE companies.

3.2.5.9

Foreign owned business entities and airlines are not required to sell equity to locals and in this instance, they will formulate and participate in Equity Equivalent Programmes approved by the Department of Transport as articulated in the Code 103 of the DTl's Codes of Good Practice using 1.5% target of payroll of SA based staff .