About MIC
The Mineworkers Investment Corporation’s (MIC) conclusion of a BEE buy-in with BP will set the pace for the transformation process of large and multi-national corporations in South Africa
Over the past few years, the MIC management team has built a substantial asset base. This has been achieved without funding from the National Union of Mineworkers nor directly from the pension and provident funds of mine workers. However, in its short history, MIC has established itself as one of the most successful proponents of black empowerment and wealth creation.
Since its establishment in 1995, the MIC Group of Companies has paid out R38 million directly and indirectly through the Mineworkers Investment Trust, which has in turn advanced the money to fund its social programmes. In addition, the MIC has committed to provide an additional R52 million over the following six years. The key objective of the MIC is to generate a portfolio of assets that would provide the Trust with a consistent and sustainable cash flow for use in financing social programmes. To achieve this goal, the MIC is taking part in the broader objective of black economic advancement and empowerment through participation in the change of ownership.The MIC is also involved in the process of workplace transformation through facilitating employment equity plans. With this vision, it is understandable that the MIC’s core focus is to be an active shareholder. It sees itself as a partner to management and other stakeholders in the creation of added value.
In many ways the MIC has been a pioneer in the growth of empowerment transactions. Initially they built their asset base through listed companies, which were used to raise additional funding. To augment the asset base, the MIC also developed alternative investment strategies. These include the formation of joint ventures as a way of securing access to intellectual capital as well as building new businesses from scratch. The MIC believes the essence of business is about relationships and it seeks to forge long-term partnerships to create value and to build a better future.
Over and above the distribution of value to the Mineworkers Investment Trust, which is used to fund social benefits, the MIC has consistently tried to identify investment and related opportunities that could also make a difference to people’s lives. In this regard they have pursued certain opportunities which do have a greater impact than just providing good investment returns. These include initiatives such as workplace retailing, the provision and distribution of group insurance products and easy access to credit loans.
