Earlier reports in Business Day says that Allan Gray would like to call a shareholders meeting to remove the board of Net1, a company in which they hold a 16% share.
Bruce Whitfield, host of The Money Show, says Allan Gray holds more than 10% of shares in Net1, therefore it is within their rights to call the shareholders meeting.
However, he says in a statement released by Allan Gray there is nowhere it mentions calling a board meeting. Instead, they are calling on the management of Net1 to do the right thing and distribute grants for the 17 million grant beneficiaries.
Whitfield says in the statement, Allan Gray wants Net1 to respond to allegations that it uses information of grant recipients improperly.
In this particular statement there is no suggestion of a board meeting but it would be within Allan Gray's right to do so.— Bruce Whitfield, 702 on-air personality
This could happen but it looks like Allan Gray is not ready to pull that trigger yet. They have got the power to do it but they are saying to Net1 do the right and make sure you comply with the spirit of today's Constitutional Court ruling.— Bruce Whitfield, 702 on-air personality
To hear more from Whitfield, please listen below:
This article first appeared on CapeTalk : Allan Gray demands Net1 do the right thing