Saki Macozoma says Exxaro deal proves BEE can build value

South African businessman Saki Macozoma is pushing back against critics of black economic empowerment, pointing to a multibillion rand manganese deal with Exxaro Resources as proof that the policy can build durable companies.

Macozoma, chairman of Safika Holdings and Ntsimbintle Holdings, said the transaction shows what is possible when empowered firms are treated as long term owners rather than short term beneficiaries. The deal, valued at about 11.67 billion rand ($723 million), is expected to close in early 2026, subject to regulatory approvals.

Exxaro, a major coal producer that has been looking to diversify, agreed to buy a portfolio of manganese assets held by Ntsimbintle and partner OM Holdings. The package includes stakes linked to the Tshipi Borwa mine in the Northern Cape, the country’s biggest manganese operation and a major exporter, plus interests in Mokala Manganese and Hotazel Manganese Mines.

The transaction also covers Ntsimbintle’s marketing and trading business and a 19.99 percent shareholding in Australia listed Jupiter Mines, which has an interest in Tshipi. Exxaro has said manganese is central to its shift toward minerals tied to steelmaking and the energy transition, including battery supply chains.

Macozoma said he has watched public debate sour around empowerment rules, often reduced to stories of tender deals and politically connected shareholders. He said the manganese sale should be read differently, as a value realization after years of operational work, investment and governance. He said sceptics rarely count the steady payrolls, taxes and supplier contracts that follow real investment.

Moss Ngoasheng, Safika’s chief executive and an Ntsimbintle director, said the portfolio was built over more than two decades and that the sale crystallizes value for shareholders and trust beneficiaries. He said the deal is also a vote of confidence in South Africa’s mining sector and its ability to attract capital.

Exxaro chief executive Ben Magara said the acquisition brings together two consistent dividend paying empowerment companies and gives Exxaro a strong entry point into manganese. He said the company intends to use its experience in bulk commodities and logistics to unlock growth in the Kalahari Manganese Field.

Manganese is rising in strategic importance, not only for steel, but also for certain battery chemistries and renewable technology components. South Africa holds some of the world’s largest manganese resources, and producers have been under pressure to expand responsibly while improving local beneficiation.

Macozoma said the sale will allow Ntsimbintle and Safika to pursue other investments, while keeping key assets in South African hands. He said the next test for empowerment is whether deals translate into jobs, supplier development and long term community benefits, not only headline valuations.

The companies have not detailed how the proceeds will be deployed, but they have framed the transaction as a pivot toward a simpler portfolio and new opportunities. Regulators will still need to sign off, yet Macozoma said he believes the moment offers a clearer narrative: empowerment can produce globally competitive businesses when the focus stays on building.