Question · Q4 2025
Michael Steere inquired about the impact of recent South Sea news on SARCA's 5% shareholding, Lesaka's support for the restructuring, and potential benefits from a successful listing. He also asked about the perceived threat from Shoprite's entry into the banking sector and how Lesaka plans to compete, and requested more details on impairments and PPA acceleration, including future anticipated charges and any impact from the BankZero acquisition.
Answer
Dan Smith, Group CFO & Director, confirmed Lesaka holds a 5% stake in South Sea, currently valued at zero, and expressed hope for a successful IPO while ensuring rights preservation. Ali Mazanderani, Executive Chairman, and Lincoln Mali, CEO - Southern Africa & Director, viewed Shoprite's entry as another market participant, emphasizing Lesaka's distinct distribution model, comprehensive multi-product offering (transactional accounts, lending, insurance, ADP), and focus on customer needs rather than direct competition. Dan Smith offered to recap PPA principles, and the analyst indicated the previous explanation was sufficient regarding the R160 million charge expected next year.