Amid all financial crisis affecting the country, coupled with the political crisis rocking his party, the ANC, Deputy President Cyril Ramaphosa seems ready to pursue his political career considering his new financial status.
Deputy President Ramaphosa who appears calm, well calculated and as one who seemingly kowtows to Jacob Zuma, seems to have also grown so well both politically and financially.
A new list compiled by Entrepreneur Magazine named our very own Deputy President Cyril Ramaphosa as among the top 28 richest South Africans who drive the economy of the country.
According to the list, Ramaphosa, alongside former MTN executive, Irene Charnley; Discovery founder, Adrian Gore; and the wealthiest woman on the list, Pam Golding were some of the top richest people South Africa has.
Ramaphosa is worth R6.4 billion which he gained largely from investments. He is the 15th richest South African, just after Adrian Gore, the Chief Executive of Discovery Limited (worth R6.7 billion) and Raymond Ackerman who bought Pick ‘n Pay (worth $ 500 million= R6.9 billion).
Ramaphosa was named among the top 50 richest people in Africa by Forbes 2015
Who Is Cyril Ramaphosa?
Born on November 17, 1952, Cyril Ramaphosa is a South African politician, businessman, activist, and trade union leader who has served his country since May 2014 when he took up the office of the Deputy President under President Jacob Zuma.
Since being appointed deputy president by South African President Jacob Zuma, Cyril Ramaphosa stepped back from his business pursuits to avoid conflicts of interest.
Prior to his official venture into politics, the political leader is known for his strong business IQ and sound investment skills. This led to his appointment to top positions in some well-known companies in South Africa.
The few ones include:
- Chairman- Alexander Forbes South Africa, Black Economic Empowerment Commission, Johnnic Holdings Limited, KreditInform (Pty) Limited, Sasria SOC Limited, Vancut Diamond Works
- Deputy Chairman- Rebserve Holdings Limited
- Founder and Executive Chairman – Millennium Consolidated Investments (Pty) Limited, Shanduka Group
- Independent Director- Sabmiller PLC
- Independent Non-Executive Director – Capital Property Fund
- Non-executive Chairman – Pan-African Resources PLC, MTN Group Limited, The Bidvest Group Limited
- Non-Executive Director- Alexander Forbes Limited, Assore Limited, Lonmin PLC, Standard Bank Group LTD, The Bidvest Group Limited
- Vice Chairman- Commonwealth Business Council
How Cyril Ramaphosa Made His Wealth
There’s no gainsaying that Cyril Ramaphosa made his wealth by forming part of so many executive roles in so many notable companies. He started as an anti-apartheid activist and labour leader and became a businessman but he first came to prominence in the 1980s when he founded and promoted the National Union of Mineworkers, created to improve the rights of black African workers.
In 1996, Ramaphosa became the Deputy Executive Chairman of New Africa Investments Limited (“Nail”). Under his leadership, NAIL invested R7 million to start-up an investment banking company called Pleiade Investment Corporation- a financial advisor which indirectly was used to raise capital for Nail. Pleiade’s investment deal with SBC communication gave birth to its new name AMB Capital
In 1996 AMB Capital served as “advisory” to a R2.7 billion broad-based empowerment deal in Johnnic Holdings Limited. Not only did it act as an advisory, it also raised capital to the value of R2.1 billion for certain members of the National Empowerment Corporation/Consortium to acquire a controlling stake in Johnnic Holdings Limited (Mutlichoice, Mnet, Hotels and Casinos).
The R2.1 billion was mostly raised out of Labour Unions pension funds and considering Ramaphosa’s history with labour unions, AMB Capital “put forward” Ramaphosa for the position of Chairman to Johnnic holdings. Through him, AMB was able to use Labour Union member pension funds in equity deals.
More importantly, Ramaphosa acquired substantial wealth forming part of so many executive roles within JSE listed companies. Added to his hard work and dedication to the growth of the companies, Ramaphosa gained his wealth from preferential share options.
In 2011 Ramaphosa paid a 20-year master franchise agreement to run 145 McDonald’s restaurants in South In 2015, Ramaphosa announced that he was going to disinvest from Shanduka to free him up to fulfil his new responsibilities as Deputy President without the possibility of a conflict of interest.
He stepped down as chairman of investment firm Shanduka Group and a year later, sold off his 30% stake in Shanduka which now have merged with Pembani Group to form a “Pan-African Industrial Holdings Group” with $900 million in assets.
While declaring his assets after his election in 2015, Ramaphosa revealed that he has shares in Mondi Paper and Packaging valued at over R2-million, and his directorships of Micawber 799 and 800, the holding company of the McDonald’s fast-food chain in South Africa. He also lists 31 properties in South Africa.
Currently, Cyril Ramaphosa earns R2,716,798 as annual salary for his position as the Deputy President of the Republic of South Africa, according to a fact sheet.