DIPEO CAPITAL (RF) (PTY) LTD (“Dipeo”) a BEE investment holding company, is 51%-owned by the Dipeo BEE Education Trust of which all beneficiaries are black individuals. The trust will use its share of any value created in Dipeo to fund black students’ education.
Dipeo’s investments as at 28 February 2022 included shareholdings in Curro (3.6%), Stadio (3.3%) and Kaap Agri (20%).
During the financial year ended 28 February 2019, Dipeo’s SOTP value turned negative (i.e. liabilities exceeded assets) following a decline in the value of its investment portfolio, which had a negative impact on PSG Group’s SOTP value through reducing its investment in Dipeo to zero and impairing PSG Group’s pref share investment in Dipeo to the extent required. During the year under review, PSG Group recognised an impairment reversal of R221m following an increase in the value of Dipeo’s investment portfolio. The accumulated impairment of PSG Group’s pref share investment in Dipeo amounted to R625m as at 28 February 2022.