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IOL News
13-06-2025
- Business
- IOL News
Court ruling leads to business rescue for Azrapart, owner of Fourways Mall
The South Gauteng High Court has put Azrapart, which owns half of South Africa's largest shopping center, Fourways Mall, under business rescue after it was unable to pay Investec and First Rand Bank R2.8 billion. Image: Fourways Mall/Facebook The South Gauteng High Court has put Azrapart, which owns half of South Africa's largest shopping center, Fourways Mall, under business rescue after it was unable to pay Investec and First Rand Bank R2.8 billion. Azrapart's only business activity relates to the joint ownership and management of Fourways Mall, a super-regional shopping centre in Fourways, Johannesburg. The other half of the mall is owned by listed fund APF. Azrapart is controlled by Eriologix, which is in turn controlled by the Michael Family Trust. The ruling caps off a series of court matters, including one in March in which both Investec and First Rand Bank, acting through its Rand Merchant Bank, argued that Azrapart owed them R2.3 billion, which it was unable to pay. 'As a result, the court found that there is no doubt strong indications that the first respondent is in financial distress,' the latest ruling handed down earlier this month stated. To further complicate matters, in May 2024, the Competition Tribunal decided that the two banks that successfully placed Azrapart under business rescue, could take control of the mall owner in a bid to restructure Azrapart's debt. In March this year, Azrapart argued that it was in the process of finalising a transaction with Redcore Hospitality, a company registered in the United Kingdom. In terms of this transaction, it would receive a capital injection of R2.6 billion. This, the mall owner argued, would enable it to pay its debt. 'In an affidavit filed on behalf of the first respondent, there was an undertaking that the first respondent [Azrapart] would make payment of the R2.6 billion so received to the applicants [Investec and First Rand], which would be more than sufficient to cover the liability of the first respondent towards the applicants.' In the March ruling, the issue arose of whether this amount would be paid, and final judgment for the banks' application to have Azrapart placed under administration. Between March and June, Azrapart filed several applications indicating that the cash injection would be forthcoming. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading However, a subsequent investigation revealed that Redcore didn't actually have the money it needed to pay Azrapart. 'It appears then that, having regard to all the information placed before it, this Court still cannot find with any measure of certainty that the R2.6bn will be transferred to the first respondent by Redcore. It follows that the first respondent should now be placed in business rescue,' the South Gauteng High Court said in June. It added that this will 'enable the independent rescue practitioners to assess any agreement with Redcore, and if determined viable, to pursue such transactions further in the first respondent's business rescue proceedings'. Under the latest ruling, Piers Marsden and Lance Schapiro have been appointed as joint interim business rescue practitioners. As part of the process, the mall owner has been placed under supervision. The Fourways Mall partnership came about in 2015, when the Competition Tribunal approved a merger between Accelerate Property Fund and Azrapart, owners of property in the Fourways area. 'It was found that neither merger would have an impact on competition,' it said. IOL
Eyewitness News
11-06-2025
- Business
- Eyewitness News
Calls from opposition for Godongwana to quit out of kilter with coalition politics
CAPE TOWN - Chairperson of Parliament's Standing Committee on Finance, Joe Maswanganyi, says calls from the opposition for Finance Minister Enoch Godongwana to quit are out of kilter with coalition politics. The National Assembly on Wednesday afternoon considered a Fiscal Framework and Revenue Proposals that will underpin the 2025 budget for a second time, after Godongwana was forced to withdraw the last version in April, following political pressure both within and out of the Government of National Unity (GNU), and a subsequent court challenge. On Tuesday, the uMkhonto weSizwe (MK) Party lost a vote in the house calling for the Finance Minister to be censured over what it argued was the mismanagement of the budget process. Tabling the committee's report on the latest fiscal framework on Wednesday afternoon, Maswanganyi said drawing up a budget that considers the competing interests of all partners in a coalition government is a complicated process. "The budget adoption process within a coalition government can be quite complex due to the multitude of interests involved. Coalition partners often bring diverse priorities, ideologies and agendas to the table, which can complicate consensus-building efforts. Many countries, such as those in the Benelux region, the Nordic nations and Germany, encounter similar challenges under coalition governance." In response to public objections to the adjustment in the fuel levy to fund the R2.3 trillion budget, Maswanganyi said the committee will put pressure on finalising a review of the country's fuel price structure. The committee noted the stakeholders' rejection of this proposal, mostly citing its impact on the business sector, poor people and low- and middle-income households who spend the bulk of their earnings on food and transportation. ALSO READ: EFF hellbent on having fuel levy hike scrapped, despite losing legal bid
The South African
06-06-2025
- Business
- The South African
Taxpayers cough up R1 million for Paul Mashatile's Japan hotel
Deputy President Paul Mashatile is under fire following revelations that nearly R1 million in public funds was spent on luxury hotel accommodation during a five-day diplomatic visit to Japan in March 2025. According to details disclosed in a recent parliamentary Q&A, Mashatile and his wife, Humile Mashatile, racked up R956 057 in hotel expenses alone – part of a total R2.3 million bill for the Tokyo trip, which was billed as a high-level engagement to strengthen trade and cultural ties between South Africa and Japan. The cost of accommodation has sparked particular outrage. Based on a four-night stay, the expenses average out to roughly R239 000 per night – far more than the rates charged by even Japan's most opulent hotels. Parliamentary records did not name the hotel used by the delegation, and this lack of transparency has only fueled criticism from opposition MPs and civil society groups, who say the spending is excessive and unjustifiable, especially during a time of economic hardship for many South Africans. 'This kind of wasteful expenditure is unacceptable,' said DA MP Lerato Ngobeni, who posed the original parliamentary question. 'Taxpayers are struggling to make ends meet, while senior officials are living in five-star luxury.' The March visit came just months after Paul Mashatile was sworn in as deputy president on 3 July 2024. Since then, he has undertaken several international trips, including stops in Ireland, the United Kingdom, Zimbabwe, Botswana, and Japan – trips that have collectively drawn scrutiny over rising travel costs. Mashatile did not travel alone. He was accompanied by a delegation that included ministers and deputy ministers from several portfolios, such as Sport, Agriculture, Higher Education, and International Relations. The government has defended the trip, arguing it held strategic value for bilateral cooperation in trade, education, and science. Yet critics remain unconvinced. Transparency watchdogs and public finance monitors have demanded an audit of the Japan trip and called for stricter guidelines on government travel, citing the lack of itemised breakdowns and vague justifications. 'This isn't just about one trip,' said Sipho Mbele, an analyst with the Public Accountability Forum. 'It's about a pattern of abuse where government elites operate under a different set of rules than ordinary citizens. There's very little transparency or restraint.' As pressure mounts, at the time of publishing, Paul Mashatile's office has remained silent on the matter. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
The Citizen
04-06-2025
- Business
- The Citizen
Mashatile spent R2.3m on travel, food, and laundry for Japan trip
Mashatile confirmed that he undertook four official international trips, costing approximately R7.9m since July 2024. Deputy President Paul Mashatile has disclosed that he spent R2.3 million on a single working visit to Japan in March 2025, with expenses including flights, accommodation, ground transport, restaurant services, and laundry costs. This latest revelation adds to previous travel expenditure totalling over R5.5 million since taking office in July 2024. The revelation came in response to a parliamentary question from ActionSA MP Lerato Mikateko Ngobeni, who requested a complete breakdown of all official travel undertaken by Mashatile since assuming office on 3 July 2024. Four international trips with combined costs exceeding R7.9m Mashatile confirmed that he undertook four official international trips since the specified dates. These included: Working visits to Ireland and the United Kingdom in September and October 2024, Representing President Cyril Ramaphosa at the inauguration of Botswana's President Duma Boko in November 2024, Attending an extraordinary SADC Summit in Harare, Zimbabwe, also in November 2024, and A recent working visit to Japan in March 2025. The Ireland and UK working visits cost R5 475 829.03, while the Botswana inauguration cost R52 867.58 and the Zimbabwe SADC Summit cost R56 166.20. The latest Japan trip alone cost R2 319 138.19, bringing the total expenditure for all four trips to approximately R7 903 901. While comprehensive details were previously provided for the first three trips in February 2025, Mashatile's latest parliamentary response focused specifically on the Japan working visit, which took place from 16 to 19 March 2025. ALSO READ: Gauteng underspends budget but says R1.8bn not lost Importance of Mashatile's Japan visit The deputy president emphasised the strategic significance of the Japan trip, describing it as focused on 'strengthening political, economic and social areas of cooperation between the two countries.' The visit coincided with the celebration of 115 years of diplomatic relations between South Africa and Japan. In his parliamentary response, Mashatile stated that he was accompanied by a high-level delegation including Deputy Minister of International Relations and Cooperation Thandi Moraka, Minister of Sport, Arts, and Culture Gayton McKenzie, Minister of Higher Education Dr Nobuhle Nkabane, Minister of Agriculture John Steenhuisen, Minister of Trade, Industry and Competition Parks Tau, and Deputy Minister of Science, Technology and Innovation Nomalungelo Gina. Economic focus and business engagements Mashatile highlighted Japan's position as South Africa's fourth-largest trading partner as a key motivation for the visit. He noted that 'many Japanese companies have expanded investment plans in the pipeline in South Africa, thereby having assured the South African Government of Japan's trust and support in its economic policies.' During the working visit, Mashatile and his delegation engaged with Japan's business community across various sectors including manufacturing and machinery, mining and mineral beneficiation, energy cooperation, the automotive industry, and greater market access for South African agricultural products. According to the deputy president, key engagements included a visit to the Isuzu Fujisawa Plant Service, meetings with Dr Akhiko Tanaka, President of the Japan International Cooperation Agency, and discussions with the Japan-African Union Parliamentary Friendship League. The delegation also met with representatives from the Japanese business community, including the Japan External Trade Organisation, the Japan Organisation for Metals and Energy Security, Keidanren, and the Association of the African Economy and Development in Japan Committee. ALSO READ: Mashatile's Japan trip hailed as 'strategic' amid US trade tensions High-level political meetings The visit marked 'the first high-level engagement between South Africa and Japan in the last 10 years,' according to Mashatile. He met with Prime Minister Ishiba and Chief Cabinet Secretary Hayashi 'with the objective to foster closer political collaboration.' Mashatile also delivered a keynote address at the United Nations University under the theme 'South Africa's G20 Presidency: Solidarity, Equality, and Sustainability – a conversation with Japan.' Detailed cost breakdown for Mashatile's Japan trip The comprehensive cost breakdown for the Japan trip revealed expenses totaling R2,319,138.19. Flight costs amounted to R613,214.92 for the delegation, while accommodation expenses reached R1,235,569.73. Ground transport costs totalled R410,926.94. Additional expenses included R8,033.50 for laundry services and R51,393.10 for restaurant services covering food and beverages. Previous travel expenses dwarf Japan costs The Japan trip, while expensive, was not Mashatile's costliest international travel during the period in question. The Ireland and UK working visits in September and October 2024 cost significantly more at R5,475,829.03, with accommodation in London alone costing over R3.2 million. The two regional trips to Botswana and Zimbabwe were comparatively modest at R52,867.58 and R56,166.20 respectively, partly because the deputy president was transported by the South African Air Force for these shorter trips. Delegation composition and individual costs Mashatile's spouse, Humile Mashatile, accompanied the delegation and 'participated in the Spousal Programme,' with her flight costs listed at R117,518.08 and ground transport at R73,592.80. Mashatile's own expenses included R117,518.08 for flights, R956,057.00 for accommodation, and R77,360.32 for ground transport. Senior staff members accompanied the Deputy President, including Deputy Director-General Mduduzi Mbada, Political Advisor and Acting Spokesperson Keith Khoza, Acting Head of Communications Itumeleng Mafatshe, and various administrative and protocol support staff. Each staff member's role was clearly defined, from providing strategic and advisory support to handling communication, administrative duties, and protocol requirements. G20 and African agenda alignment Mashatile noted that the timing of the visit aligned strategically with South Africa's G20 Presidency and Japan's hosting of the 9th Tokyo International Conference on African Development in August. This confluence presented 'a unique opportunity for South Africa to communicate its position and priorities for the continent to Japan and the expected support and role that Japan could play in this regard.' NOW READ: Starlink proposal: Mashatile says Cabinet holds final say on policy changes
The Citizen
29-05-2025
- Business
- The Citizen
Training authority believes this sector could be key to jobs and economic growth
Mkhwanazi said those wishing to start their own businesses were 'equipped with the skills' they needed. As South Africa's soaring unemployment numbers reach 32.9%, with youth joblessness standing at 62.4%, the Wholesale and Retail Sector Education and Training Authority (W&RSETA) is bullish about having waged an effective skills development initiative in the sector. With the W&RSETA having over the past two years sent three groups of graduates and entrepreneurs to Egypt, Turkey and China for training, beneficiaries will on Thursday hold a feedback presentation on the impact the international programmes have had in changing their lives. The skills development programmes include: The Chinese Culture and International Exchange Cross Border E-commerce project, budgeted at R23 million. W&RSETA-Elaraby Egypt TVET College appliance repair programme, budgeted for R2.3 million. Fashion Designers Turkey project, based in the country's capital Istanbul, budgeted for R680 000. 'The number of programmes that we have as a Seta, the impact has been huge – people either getting employed or starting thriving enterprises. 'We empower them with the skills so that they get employed – dealing with the issue of youth unemployment that we have in the country,' said W&RSETA CEO Tom Mkhwanazi. Encouraging entrepreneurship Mkhwanazi said those wishing to start their own businesses were 'equipped with the skills'. 'The reporting taking place in Sandton on Thursday, will largely focus on three international programmes that we have been involved in. 'These including the International Leadership Development Programme, which we have been running since 2009. 'This has benefitted more than 5 000 senior and executive leaders, with our role being to equip senior managers, especially those who are previously disadvantaged, giving them skills to thrive and become leaders in the sector. 'This also closes the existing skills gap, especially with senior managers who lack crucial skills, broaden their mindset and open up opportunities for them,' explained Mkhwanazi. ALSO READ: The dark picture of youth unemployment in South Africa He said the programme was conducted in collaboration with the University of Cape Town and Gibbs. 'We want to produce managers that have gained insight into best practices and cutting-edge innovation and technology – creating opportunities for the beneficiaries and their retailers. 'If they want to start their own businesses, they are fully empowered to do so. 'The other area that we focus on is building leaders that become role models – positioning the retail sector as a career of choice. 'A lot of young people get into the sector by accident when everything else has failed. 'Young people do not think that the sector has opportunities. ALSO READ: More than a million applications for just 44 000 school job opportunities Retail Mkhwanazi described the retail sector as 'dynamic', contributing 20% in the country's employment, 35% to the gross domestic product and having employed over 3.3 million people. 'Young people I address in townships get shocked when I talk about the existence of so many career opportunities in the sector. 'I have always said to young people I come across, that not everyone needs to be looking for a job, because for any country wishing to ramp up economic growth, it has to start by empowering small businesses,' he said. The Seta has taken a group of young local TVET college students to China for a year, to gain workplace experience on E-Commerce. Among the 82 students who have graduated from China, include: Twenty-three students who studied at the Hangzhou Polytechnic – trained in online shop management, social media content creation, logistics, marketing, customer relations and entrepreneurship. Twenty-one who studied at the Wuhan Vocational College of Software and Engineering – trained in cutting-edge e-commerce and business skills. Nineteen, trained at the Changzhou Vocational Institute of Mechatronic Technology – provided with practical and theoretical training to navigate the digital economy. Twenty students trained in the Guangdong Polytechnic – equipped with the competencies to thrive in today's global retail environment. 'We are in the Fourth Industrial Revolution and digital people – pushing young people to be exposed to skills and occupations required by the industry,' he said. NOW READ: South African youth: Mobilising for entertainment but absent in activism
