Monday, April 13, 2026
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Concorde: an Icarian tale

Why the fastest passenger plane in history disappeared, while slower ones took over the world

Somewhere high over the equator, in that strange stretch of time where night refuses to end and morning takes its time arriving, I realised something mildly inconvenient about myself: I just cannot sleep on a plane.

Not properly, anyway. Not the kind of sleep that resets you. At best, I drift. At worst, I sit there, eyes closed, mind wide awake, tracking the slow, almost stubborn progress of a long-haul flight. Eight hours to destination becomes seven. Seven becomes six. The little picture of the plane on the map moves, but only just. Time in the sky doesn’t pass so much as it lingers.

It’s in that half-aware, slightly restless state that my brain starts looking for shortcuts. And, more often than not, it lands in the same place: the Concorde.

Every time I remember that we used to cross the Atlantic in just over three hours, the question feels ridiculous. If we’ve been capable of doing that since the 1970s, then why aren’t we still doing it now?

A future that gleamed

In 1962, best-of-enemies Britain and France signed an agreement to jointly develop the world’s first supersonic passenger aircraft, pooling resources in a bid to push the boundaries of what commercial aviation could achieve. The name itself – Concorde – means “agreement” or “harmony” as a nod to that cooperation.

When the first prototype took flight in 1969, it delivered in spectacular fashion. This was not an incremental improvement on existing aircraft. It was something entirely different: for the first time in history, ordinary people – not astronauts or military pilots – were flying at more than twice the speed of sound and cruising high enough to see the curvature of the Earth as they moved across it.

The implications felt immediate. Mach 2 became so easily accessible. A journey that once stretched across most of a day could now be completed in less than half the time – London to New York in just over three hours. For a moment, it seemed entirely plausible that this was where the future of aviation was heading. Faster, higher, more extreme. Not just better, but fundamentally different.

Speed at a price

But speed, especially at that scale, doesn’t exist in isolation. It brings its own set of constraints, and they’re not the kind that can be easily smoothed over with time.

Concorde was never going to carry hundreds of passengers per plane, and it was never going to operate cheaply. The physics alone made sure of that: it burned through fuel at a rate that only made sense at smaller volumes, and the sonic booms it produced meant it couldn’t fly over land without causing disruption. Its routes were limited before they even began.

These weren’t minor inefficiencies waiting to be optimised. They were structural realities that were bound up in the very thing that made Concorde extraordinary in the first place. So it found its place elsewhere.

By the time British Airways and Air France introduced commercial Concorde flights in the mid-1970s, Concorde had already begun to shift from technological breakthrough to something closer to a luxury experience. The passengers who filled its seats weren’t looking for affordability; they were buying time, and, just as importantly, what that time represented.

Flying Concorde became a signal of access, of status, of proximity to a certain version of the future. The champagne, the narrow cabin, the first-class service all reinforced the idea that this wasn’t simply a faster way to travel. It was a different category entirely. And, for a while, it worked. British Airways, in particular, managed to turn that positioning into something commercially viable. Not broadly profitable in the way mass-market aviation aims to be, but stable enough. Just stable enough.

Still, it was always a narrow path. High costs, limited routes, and a relatively small customer base left very little room for disruption. There wasn’t much margin for error, and even less for anything unexpected. Which is why, when something did go wrong, the consequences were dire.

The crash that changed the conversation

On 25 July 2000, Air France Flight 4590 departed from Paris en route to New York. Moments after take-off, a chain of events unfolded that would come to define the final chapter of Concorde’s story. A piece of metal debris left on the runway punctured one of the aircraft’s tyres. The resulting explosion sent fragments into the fuel tank, triggering a leak and a subsequent fire. Within minutes, the aircraft lost power and crashed into a hotel in Gonesse.

Everyone on board was killed, along with four people on the ground. It was the first fatal crash involving the Concorde. It would also be the last.

In purely statistical terms, the Concorde’s safety record was almost faultless. For close to three decades, it had operated without a single passenger fatality, earning a reputation for reliability that, if anything, exceeded that of many conventional airliners. Yet the nature of the crash, combined with the visibility and the perceived “luxe” status of the Concorde brand, had an outsized impact on public perception.

Flights were grounded. Investigations followed. Technical modifications were introduced, including reinforced fuel tanks and improved tyres. Service eventually resumed, but by the time the Concorde returned, the world it re-entered had changed. In the wake of 9/11, the early 2000s brought with them an overall downturn in global air travel, heightened sensitivity to risk, and increasing scrutiny of high-cost operations that served relatively few passengers. 

By 2003, both Air France and British Airways had retired their Concorde fleets. The official reasons pointed to rising maintenance costs, declining demand, and broader industry pressures. An aircraft that was expensive to run, limited in application, and suddenly more vulnerable in the public imagination simply became harder to justify.

Meanwhile, at 35,000 feet

While Concorde was exiting stage left, the rest of the aviation industry continued to evolve along more… conventional lines. Subsonic aircraft became more efficient, more accessible, and more deeply embedded in global transport systems. At the centre of this ecosystem sat companies like Boeing, whose aircraft formed the backbone of commercial aviation for decades.

For much of its history, Boeing represented a certain standard. Founded in 1916, the company built its reputation on engineering excellence and a commitment to safety that became almost synonymous with its brand. The phrase “If it’s not Boeing, I’m not going” was not just a clever marketing line; it reflected a level of trust that had been earned over generations.

Of course, that trust has been tested in recent years. I wrote a longer piece about Boeing’s struggles (and how they came to be) here, but I’ll give you the TL;DR: between 2018 and 2019, two Boeing 737 Max 8 aircraft were involved in fatal crashes shortly after take-off – one in Indonesia, the other in Ethiopia. Investigations revealed issues with the aircraft’s MCAS system, which relied on faulty sensor data and repeatedly forced the planes into nose-down positions that pilots struggled to counteract. In total, 346 people lost their lives across the two incidents.

Regulators moved to ground the 737 Max fleet, resulting in the longest suspension of a US airliner in history. Boeing faced billions in fines, compensation claims, and lost orders, along with a level of scrutiny that extended far beyond technical fixes.

Even after the aircraft was recertified and returned to service, the headlines did not entirely subside. In 2024, a 737 Max 9 experienced a mid-flight decompression event when a section of the fuselage detached, forcing an emergency landing. No fatalities occurred, but the incident reinforced the narrative that Boeing was struggling to maintain the standards that had once defined it.

And yet, despite all of this, Boeing did not go the way of the Concorde. The embattled aircraft builder remains central to global aviation today.

The resilience of scale

I find the contrast between Concorde and Boeing fascinating. One aircraft, with a near-pristine safety record, is effectively retired after a single fatal incident. Another, associated with multiple crises and systemic issues, continues to operate at scale.

The explanation lies less in the specifics of each case and more in the broader systems they inhabit. Boeing’s aircraft are not niche products. They are integral to the functioning of global air travel. Airlines build fleets around them, train pilots to operate them, and structure entire route networks on the assumption that these planes will remain in service. When problems arise, the consequences are severe – but so is the incentive to resolve them. Grounding a fleet of that scale is disruptive. Replacing it entirely is, in most cases, impractical.

Concorde, by contrast, existed at the margins of this system. It was a technological outlier, admired for its capabilities – loved, even – but not essential to the day-to-day movement of people and goods. When it encountered a crisis, there was no broader dependency forcing its return. The world did not need Concorde to keep moving, which is why it simply moved on without it.

The Concorde belonged to an era that was more willing to invest in symbolic technological achievements, even when the commercial case was uncertain. Its heyday – in the 1990s – saw roughly 1.5 billion commercial airline passengers take to the skies annually. In 2024, that number had more than tripled, sitting at an estimated 5 billion seats sold per year. Today’s aviation industry operates under different constraints, where efficiency, scale, and cost control tend to outweigh spectacle.

That doesn’t mean the dream has disappeared entirely. There are still companies exploring supersonic travel, promising quieter engines and more sustainable designs. The idea of crossing oceans in a matter of hours continues to hold a certain appeal (and not just to me).

For now, though, it remains just that – an idea, waiting for the right conditions to take hold again. Why did we stop flying faster than sound? The answer is not that we forgot how. It’s that we couldn’t quite make it work for enough people, for long enough, to justify keeping it alive.

Concorde showed us what the future might look like. Boeing, for better or worse, shows us what the present requires.

About the author: Dominique Olivier

Dominique Olivier is the founder of human.writer, where she uses her love of storytelling and ideation to help brands solve problems.

Her first book, Lessons from Loss, has been published by Penguin Random House.

She is a weekly columnist in Ghost Mail and collaborates with The Finance Ghost on Ghost Mail Weekender, a Sunday publication designed to help you be more interesting.

Dominique can be reached on LinkedIn here.

Ghost Bites (Alphamin | Araxi | Nu-World)

Alphamin’s earnings are growing rapidly (JSE: APH)

High tin prices are working their magic for the company

Alphamin has announced their EBITDA for the three months to March 2026. As expected, it’s very good.

Tin production was flat and sales were actually down 1%, but that’s ok when the price of tin as increased by a casual 30% quarter-on-quarter.

All-in sustaining cost (AISC) per tonne increased by 7%. This means that profit per tonne shot up, leading to an increase in group EBITDA of 46%.

Perhaps the biggest giggle for investors will be the increase in net cash from $12 million to $140 million in the space of three months!

It’s not all good news though – fuel prices are set to increase in Q2, as the company has 30 days of diesel on site and a further 75 days in transit in the DRC. If fuel prices remain high, then that could become a pressure point.

For context, fuel contributed just over $2,000/tonne of AISC before the increase. Total AISC is just under $18,000/tonne, so fuel is more than 10% of the cost of production.

The company plans to make a dividend decision later this month. With the share price up nearly 39% over 12 months, shareholders will be hoping for a strong dividend.


Araxi is taking a very big step forwards (JSE: AXX)

The acquisition of Pay@ is certainly exciting – but that means risky as well

Araxi has released the circular for the acquisition of 80% in Pay@ and its international affiliate. This is a R1 billion transaction, so this is a transformative deal for the group (hence the need for a circular and shareholder vote).

Araxi has a payments business that everyone loves. They also have a software business that has many question marks around its economic appeal. I don’t think that shareholders will complain about the company deepening its exposure in the payments space.

There are good reasons to be investing in this space. Increasing digital payment adoption means that more transactions are taking place through cashless methods every day. There are also trends like online shopping, and the importance of data to retailers – things that are powered by digital payments.

How does Pay@ fit into this story? Araxi describes it as “the most extensive network of payment channels across sub-Saharan Africa” – processing more than R60 billion in transaction value in the 12 months to February 2026.

Pay@ has been around since 2007, with an initial focus on bill payments. They used this as the foundation for an expansion into B2C payments as well. Today, they operate across South Africa and most of our neighbouring countries.

Transaction volumes at Pay@ grew at a compound annual growth rate (CAGR) of 19% from FY21 to FY25. Transaction value achieved a CAGR of 11% over the same period. This tells us that the average transaction value decreased over time, indicating adoption of digital payments by lower-income consumers as well.

Revenue at Pay@ grew at a CAGR of 13% over the period. Importantly, EBITDA grew at 20%, so economies of scale are visible in this business. Adjusted EBITDA in FY25 was over R130 million.

It’s clearly a solid business, but is Araxi doing the right thing by acquiring 80% of it for R1 billion? This question is even more important in the context of Araxi incurring debt of R800 million from Investec (at 3-month JIBAR + 2%) to do the deal. The days of a debt-free balance sheet are clearly behind them.

The remaining 20% will be held by two minority shareholders who aren’t ready to sell at this time. This is at least an encouraging sign, as a wild overpayment for the shares by Araxi would’ve encouraged these shareholders to sell as well. But the seller is a private equity firm, so they also aren’t fools when it comes to accepting an appealing price.

As a cash flow positive company that fits very cleanly into Araxi’s strategy, this deal looks solid overall. With revenue of R259 million for the year ended February 2025, the implied value for 100% of Pay@ (R1.25 billion) is a meaty Price/Sales multiple of 4.6x. With net profit margin of 34% though, it’s a Price/Earnings multiple of around 13x.

It’s very important to note that these revenue and profit numbers are now an entire year out of date, so these multiples should’ve already unwound significantly based on what was hopefully a good year in FY26.

Fintechs attract strong valuations. This one is no exception. Shareholders will now need to vote on whether they are comfortable with this transaction.

How do you feel about the transaction?


Nu-World had a great time in Hong Kong of all places (JSE: NWL)

But the same can’t be said for Australia

Nu-World has a market cap of R610 million. There’s unfortunately very little liquidity in the stock though, so the company sits well off the radar of most investors. A mid-single digit P/E ratio means that the dividend yield has been a substantial component of returns for investors.

In the six months ended February 2026, revenue for this distributor of appliances was up just 2.6%. Local sales were flat, while international sales increased 6.1%. Consumer pressure remains an important theme in South Africa, which contributes over 63% of group revenue.

At an income level though, South Africa’s profit increased from R22 million to R29.4 million. The highlight in the offshore business was Hong Kong, where profitability jumped from R2.3 million to almost R15 million. Alas, Australia swung from profits of R6.6 million to a loss of R6.2 million.

As you can see, these aren’t exactly huge numbers. Growth in group HEPS was really good though, up 29.8% to R47 million.

In the prior period, they made more profit in the second half of the year than the first half. That’s a demanding base for the full year results.


Nibbles:

  • Director dealings:
    • Two senior executives at Standard Bank (JSE: SBK) sold shares worth just under R38 million.
    • The company secretary of AVI (JSE: AVI) received share awards and sold the full amount for nearly R13k.
  • In the circular related to the AttBid offer, RMB Holdings (JSE: RMH) confirmed that the entire board would be resigning after the offer (i.e. on 29 May 2026). You certainly won’t see that every day! Here’s something else you won’t see: a general request for director nominations from the market. The board must have between 4 and 20 directors, so there are a few positions up for grabs. The broader stakeholder relationships aren’t exactly friendly though, so it won’t be an easy role.
  • British American Tobacco (JSE: BTI) has appointed Dragos Constantinescu as the new CFO. He joins the group from a large brewery company. I bet this man can tell a good story at the braai.

Who’s doing what this week in the South African M&A space?

Sentiv, a provider of mission-critical communications and intelligent technology solutions previously known as Altron Nexus, has acquired a majority stake in Visiosoft. Visiosoft is a local technology company specialising in internet of things (IOT) hardware and data-driven solutions. The partnership will enable Visiosoft to scale its solutions more rapidly, leveraging Sentiv’s market presence, partner ecosystem and infrastructure capabilities. Financial details were undisclosed.

Providere JV, a vehicle established by the management consortium of Isambane Mining, successfully concluded the buyout of the company. Isambane is a mid-tier mining contractor in South Africa delivering opencast mining services, including drilling, blasting, loading, hauling rehabilitation and day-work to blue-chip mining client. The transaction received Competition Commission approval in mid-January 2026. Kholo Capital and Tensai Private Equity provided R275 million in mezzanine debt funding to support the transaction.

Venture Capital firm Endeavor South Africa has closed its Harvest Fund III at R230 million, an investment pool earmarked for investment in local technology business. The fund which reached its first close of R190 million in October 2024 aimed to raise R500 million but was closed prior to this being reached due to appetite from local pension funds and other financial institutions.

Weekly corporate finance activity by SA exchange-listed companies

The Industrial Development Corporation of SA (IDC) has agreed to convert its convertible loan facility into equity in Orion Minerals’ subsidiary PCZM Holdco. The agreement, signed in February 2023 was implemented on 31 March 2026. Following the equity conversion, the IDC will hold c.23.8% of PCZM Holdco and an effective 16.7% in the Prieska Copper Zinc Mine. The IDC will retain a shareholder loan of c.R272,4 million.

Following the results of the scrip dividend election, Fortress Real Estate Investments will issue 6,086,068 new FFB shares in the company in lieu of an interim dividend, resulting in a capitalisation of the distributable retained profits in the company of R132,99 million.

AttBid, a vehicle representing Atterbury Property Fund (APF), I Faan and I Dirk, which made an offer to RMH shareholders last month, acquired a further 2,066,220 shares in on-market transactions this week. Following this, AttBid and APF hold 32.77% and 9.82% respectively, resulting in an aggregate of c.42.59% of the RMH shares in issue. The offer closes on 29 May 2026.

Jubilee Metals’ shareholders, at the General Meeting held this week, approved the special resolution of reduce the share premium account of the company. Jubilee will now apply to the Court for confirmation of the Capital Reduction with the reduction expected on 29 April 2026.

This week the following companies announced the repurchase of shares:

The Old Mutual share repurchase programme announced in October 2025 will repurchase c.220 million ordinary shares for a total consideration of R3 billion. Repurchases will take place on the JSE only and the shares will be cancelled reverting to authorised but unissued ordinary share capital. Since the October announcement 147,004,816 shares have been repurchased for a total consideration of R2,07 billion. A further 6.88% may still be repurchased in terms of the General Authority granted by shareholders.

Quilter announced it would commence a share buyback programme to repurchase shares with a value of up to £100 million in order to reduce the share capital of the company and return capital to shareholders. This week Quilter repurchased 619,903 shares on the LSE with an aggregate value of £1,1 million and 410,262 shares on the JSE with an aggregate value of R16,37 million.

Ninety One plc announced that it has extended the repurchase programme from 31 March 2026 to 3 June 2026. The shares will be purchased on the open market and cancelled to reduce the Company’s ordinary share capital. This week the company repurchased a further 212,065 ordinary shares at an average price 214 pence for an aggregate £455,141.

GreenCoat Renewables has implemented a share buyback programme totalling €100 million over 12 months with a first tranche amounting to €25 million beginning on 5 March 2026 – representing 13% of the issued share capital. This week 2,195,795 shares were repurchased for and aggregate €1,60 million.

Anheuser-Busch InBev’s US$6 billion share buy-back programme continues. The shares acquired will be kept as treasury shares to fulfil future share delivery commitments under the group’s stock ownership plans. During the period 30 March to 3 April 2026, the group repurchased 1,079,139 shares for €65,07 million.

In December 2025, British American Tobacco extended its share buyback programme by a further £1.3 billion for 2026. The shares will be cancelled. This week the company repurchased a further 472,079 shares at an average price of £43.85 per share for an aggregate £20,70 million.

During the period 30 March to 3 April 2026, Prosus repurchased a further 1,797,401 Prosus shares for an aggregate €70,9 million and Naspers, a further 764,392 Naspers shares for a total consideration of R663,3 million.

Two companies issued or withdrew a cautionary notice: RMB Holdings and Trustco.

Who’s doing what in the African M&A and debt financing space?

Global Settlement Holdings (GSH), the investment firm behind US-based blockchain infrastructure company Global Settlement Network, will acquire a majority stake in AKIBA International, to develop a regulated broker-dealer and exchange platform in Uganda. The initiative will focus on tokenised infrastructure, mining, and trade finance, targeting up to US$1,5 billion in capital commitments across real economy sectors including energy, special economic zones, and mineral value chains.

Specialist agriculture investor, AgDevCo, has made a US$15 million follow-on investment in Victory Group, an East African aquaculture company producing and distributing Nile tilapia. Victory Group farms tilapia on Lake Victoria in Kenya and Lake Kivu in Rwanda. The company sells fresh fish to thousands of mama samakis (female market traders), through more than one hundred sales outlets. AgDevCo’s mezzanine loan will support Victory Group’s next phase of expansion, including multiple new farming sites in Kenya and Rwanda.

TLG Capital announced their first investment in Zambia – a US$5 million scaling Private Credit Facility for Shona Zambia, an SME lender providing fast and flexible loans to businesses. The investment was made from TLG’s Africa Growth Impact Fund II and structured to support the growth of Shona’s loan book: capacity will be released in subsequent tranches as Shona scales, with additional guarantors and institutional partners expected to join as the transaction grows.

SMC DAO (SirMapy and Co. decentralised autonomous organisation), a community of crypto traders and investors that backs and builds Web3 products, has acquired Nigerian crypto startup Bread Africa in an undisclosed all-cash six-figure deal. Bread Africa operates as a web-based crypto application that allows users to convert digital assets into local currency.

An Egyptian government-backed startup support and investment platform, Falak Startups, has exited Delta Oil with a 25.5x return in EGP terms, to Den VC. Delta Oil operates in Egypt’s waste management and alternative energy space, focusing on the collection and aggregation of used cooking oil for biodiesel, recycled jet fuel, and other energy applications.

Mountain Harvest, a Ugandan specialty coffee company working with smallholder farmers to improve incomes and promote climate resilience through regenerative agriculture, has received an undisclosed investment from Acumen. The investment will support Mountain Harvest’s next phase of growth, including the construction of a temperature-controlled warehouse, accompanied with a dry mill and colour sorter, and land acquisition to expand processing capacity. These investments are expected to improve quality control, optimize product mix, and strengthen margins.

Inside Capital Partners has investment in Hautes Études Pratiques Internationales, the education platform behind Vatel Madagascar, a provider of internationally recognised hospitality and tourism management programmes in Madagascar. Financial terms were not disclosed.

Egyptian Fintech Lucky, has closed a US$23 million Series B funding round, including a mix of equity and debt. The round was led by existing & new investors, including Disruptech Ventures, DPI Venture Capital via Nclude fund,Suez Canal Bank, and OneStop. The funding will support Lucky’s next phase of growth, with a focus on scaling its credit offering, expanding into North Africa, and strengthening its infrastructure, licensing, and regulatory readiness as it moves toward becoming a neo-banking-ready platform.

Morocco-based retail B2B2C marketplace ZSystems has raised US$1,65 million in a seed round led by Azur Innovation Management, with follow-on participation from MNF Ventures and Witamax and new backing from Harambeans Prosperity Fund. The latest raise brings the company’s total funding to $2,7 million, following a $1,05 million pre-seed round supported by MNF Ventures, Witamax, CASHPLUS Ventures, and Kalys Ventures. The new funding will support continued product development, platform expansion, and market penetration.

Nigeria’s Zenith Bank announced the completion of its 100% acquisition of Paramount Bank Kenya. Following widespread media speculation in November 2025, Zenith issued a statement stating that the company had not released any official commentary of the deal, but that it was “currently exploring various regional expansion opportunities”. In January 2026, the Competition Authority of Kenya announced that it has approved the deal subject to conditions. No financial terms have been disclosed.

Leading on AI

A boardroom imperative in South Africa’s digital revolution

Global investment in artificial intelligence (AI)1 has reached an inflection point. The global AI market surged to approximately US$260bn in 2025 and is on track to exceed $1,200bn by 2030, reflecting a fourfold increase.2 AI is now widely recognised as the next great general-purpose technology, and is arguably the fastest-spreading technology in human history. In less than three years, more than 1,2 billion people have used AI tools, a pace of adoption that eclipses that of the internet, the personal computer and the smartphone.3

South Africa is firmly part of this acceleration. Use of AI by South African businesses has risen sharply, from 45% of respondents in 2024 to approximately 67% at the end of 2025, as cited in a recent report.4 AI is no longer merely an emerging technology; it already plays a key role in digital transformation in South Africa, and businesses that approach AI with robust protections and innovative strategies not only mitigate risks, but also position themselves to thrive as industry leaders in an ever-evolving market.

Notwithstanding the obvious potential of AI, there remain significant barriers to adoption, including data privacy concerns, implementation costs, lack of skilled talent, regulatory compliance, ethical concerns, reputational risk, and a general resistance to change. Management and boards must provide leadership on AI by driving innovation and growth, and providing strategic direction and oversight.

Unfortunately, the boardroom response has lagged the above reality. According to Deloitte, nearly 31% of directors report that AI is still not on their board agenda, although this has improved from 45% in the previous survey.5 More concerning is that only 15% of South African businesses have formal AI governance policies, creating fertile ground for “Shadow AI” – the unsupervised use of AI tools by employees, with significant legal, ethical and reputational risks.6

The importance of AI cannot be overstated – it drives productivity, innovation and competitive advantage like few technologies before it. Yet the risks are equally profound, encompassing heightened cybersecurity threats, data-privacy breaches, inaccurate or misleading outputs from AI “hallucinations”, embedded biases that can perpetuate inequality, and the gradual erosion of human skills through over-reliance on automation. In the past year alone, ransomware attacks rose globally by over a third, with generative AI emerging as a powerful enabler of threats, particularly through deepfakes – the second most common cybersecurity incident after malware.7

For boards, therefore, the question is no longer whether AI will impact their organisations, but whether they are governing its use and impact effectively and responsibly.

Although South Africa has not yet adopted comprehensive AI legislation or a dedicated AI regulatory framework, the use of AI is already subject to regulation through a range of existing legal and governance instruments. These include the Companies Act, the Protection of Personal Information Act (POPIA), the Consumer Protection Act, and the Electronic Communications and Transactions Act.

In addition, the recently introduced King V Report on Corporate Governance for South Africa, 2025 (King V) explicitly addresses the governance of AI. King V underscores the responsibility of directors to ensure clear accountability for AI-related decisions, to implement human oversight mechanisms proportionate to the level of risk, and to consider periodic independent assurance of AI systems. Its alignment with POPIA and the emerging National Artificial Intelligence Policy Framework signals that AI governance has become a core board responsibility. Within this evolving regulatory ecosystem, directors’ fiduciary duties and statutory duties under the Companies Act – to act in the best interests of the company and with reasonable care, skill and diligence – now extend squarely to the oversight of AI.

There is no one-size-fits-all approach when it comes to board governance of AI, as the approach to be adopted would largely depend on factors such as the organisation’s size, industry, and the scope of usage of generative AI in its operations. However, the checklist below provides a good starting point for boards to consider:

  1. Establish clear accountability. Designate ownership of AI at both board and management level. Avoid fragmented responsibility by assigning oversight to a specific committee, supported by cross-functional representation from legal, IT, risk, compliance and business units.
  2. Decide on AI strategy. Boards should interrogate management’s view on AI’s relevance and provide strategic leadership. AI adoption should align with the organisation’s business model, resources and long-term objectives. The board should monitor changes in the AI landscape and emerging thinking, to provide strategic direction.
  3. Develop and enforce a comprehensive AI policy. Organisations should develop AI usage policies, taking into account the risks posed by shadow AI within their operations. Such policies should, inter alia, identify approved AI tools aligned to business needs, set clear data-sharing rules, and require user training on responsible AI use. In doing so, they enable the classification of AI risks, the implementation of appropriate controls, and the proactive management of AI-related exposure.
  4. Competitor risk. Consider the risk of existing or emerging competitors leveraging AI and how this could impact the company.
  5. Build an AI inventory. Boards cannot govern what they cannot see. Require management to identify all AI systems in use, including shadow AI. Each system should be documented with its purpose, data sources, risk level and degree of human oversight.
  6. Define risk appetite. The board should explicitly consider how much AI-related risk the organisation is willing to accept, and how trade-offs between innovation and control are managed.
  7. Demand transparency and explainability. Directors should be able to understand, at a high level, how material AI systems make decisions. Systems that cannot be explained should trigger enhanced scrutiny or additional safeguards.
  8. Invest in board and workforce education and identify skilled talent. Ongoing education – through briefings, external experts or advisory panels – is essential for informed oversight. Recruit skilled talent where necessary.
  9. Implement ongoing monitoring and assurance. AI governance is not a once-off exercise. Regular audits, crisis simulations, bias testing and performance monitoring should be embedded, with escalation triggers where systems deviate from expected outcomes.
  10. Embed culture, ethics and disclosure. “Responsible AI”8 depends on culture. The board should ensure ethical principles such as fairness, accountability and transparency are reflected in policies, training and external disclosures, giving stakeholders confidence in the organisation’s approach.

In conclusion, AI governance has moved decisively from a technical concern to a central boardroom responsibility. Globally, only around one-third of boards report that they feel adequately prepared to oversee AI risks, highlighting a material governance capability gap. In this context, directors who fail to engage meaningfully with AI risk not only regulatory exposure, but strategic irrelevance. King V makes it clear that effective AI oversight is a key component of a board’s fiduciary duty. Boards that approach AI with discipline, ethical intent and informed curiosity will be best positioned to harness its value and sustain stakeholder trust.

Henning de Kock is CEO and Johann Piek an Executive | PSG Capital

1 In this article, the term “AI” is used in its broadest sense to refer to all forms of artificial intelligence, including, but not limited to, generative AI. It encompasses technologies such as machine learning, natural language processing, computer vision, and other related AI systems.
2 https://www.statista.com/chart/35510/ai-market-growth-forecasts-by-segment/#:~:text=The%20global%20artificial%20intelligence%20market,enterprise%2C%20healthcare%20and%20consumer%20markets.
3 https://www.microsoft.com/en-us/research/wp-content/uploads/2025/10/Microsoft-AI-Diffusion-Report.pdf
4 Based on survey respondents, including official use within respondent businesses (i.e. formally adopted), unofficial use or both. https://www.worldwideworx.com/wp-content/uploads/2025/10/The-SA-Gen-AI-Roadmap-2025.pdf.
5 https://www.deloitte.com/global/en/issues/trust/progress-on-ai-in-the-boardroom-but-room-to-accelerate.html.
6https://www.researchgate.net/publication/395822472_South_Africa’s_AI_Trajectory_Navigating_the_Divide_Between_National_Ambition_and_Market_Reality.
7 https://www.ey.com/content/dam/ey-unified-site/ey-com/en-us/campaigns/board-matters/documents/ey-cbm-cyber-and-ai-oversight-disclosures-2025-3.pdf
8 Responsible AI encompasses organisational responsibilities and practices that ensure positive, accountable and ethical AI development and operation.

This article first appeared in DealMakers, SA’s quarterly M&A publication.

Ghost Bites (Purple Group | RMB Holdings)

Purple Group’s flywheel is really spinning now (JSE: PPE)

Welcome to the J-curve: we’ve been expecting you

Hot on the heels of a really strong trading statement, Purple Group has released results for the six months to February 2026. I’m a happy shareholder, with the group continuing to grow beautifully.

They’ve reached that juicy part of the J-curve where most of the incremental revenue is dropping straight to the bottom line. Revenue was up 8.8%, yet operating expenses only increased by 0.5%. This obviously did great things for profitability, with profit before tax up 33.3% and HEPS up 21.0%.

This benefit of operating leverage (fixed costs relative to variable costs) is even more visible once you drill down to Easy Group, the part of the business that everyone knows so well. Revenue was up 18.5% and expenses only increased 1.6%, so profit before tax jumped by 66.3%. That’s excellent!

The underlying drivers of these numbers include a 21.9% increase in active clients and a 41.2% increase in client assets. It was also a busy period in the markets, with activity-based revenue increasing by 23.4%. Notably, non-activity-based revenue grew 14.4%, and now contributes 52.6% of total Easy Group revenue.

Here’s another good stat for you: at the halfway mark in this financial year, retail inflows are already at 72% of FY25 levels. I’m hoping to see this continue in the second half of the year, even with the energy shock that is going to hurt consumers.

An exciting growth engine in the group is the retirement business. Assets have tripled over three years, with EasyRetire Retail offering incentives for clients to bring their retirement assets across to EasyEquities.

EasyTrader was definitely the ugly duckling in this period. A net hedging loss of R21.3 million was a nasty surprise, with the correlation assumptions in the underlying model breaking down. For context, revenue in that business is just R5.7 million. This is an interesting business that includes a planned entry into prediction markets in the second half of the year, but it does have a different risk profile to the “simpler” model of EasyEquities.

In case you’re wondering, EasyTrader has 6,842 funded clients. Few people realise just how small the premium South African market actually is!

The group is also chasing the opportunity in asset management. With nearly 1.25 million active clients in the ecosystem, they have incredible distribution strength. To what extent will we see disruption of the unit trust industry? Time will tell. But you should never, ever underestimate the power of distribution.

EasyEquities Philippines is also live, at long last. They are aiming to have 500,000 active users by the end of 2027. As a shareholder, I hope they get it right, as demonstrating the ability to scale internationally would do wonders for the valuation.

Here’s another interesting development: the launch of the ZARU rand-backed stablecoin. With various big names involved here (Luno / Sanlam Specialised Asset Management / Lesaka), they are looking to take advantage of many of the structural weaknesses in cross-border payments. Fees, banking hours – these elements are ripe for disruption.

It’s certainly an impressive set of numbers for a company that has doubled its market cap in the past year. With the market cap at nearly R2.9 billion, I believe that there’s still plenty of runway here.

What is your view here? Just how far can they go?


RMH is a lesson in liquidity – and why marketability discounts exist (JSE: RMH)

The circular for the AttBid offer has been released

As you probably know by now, AttBid and Atterbury Property Fund are concert parties in the offer being made to shareholders in RMB Holdings (known as RMH).

The underlying relationships are complex, to say the least.

RMH has an investment in Atterbury Property Holdings, with this position representing 92% of RMH’s property portfolio. Atterbury Property Holdings is the indirect controlling shareholder in Atterbury Property Fund, wwhich in turn holds 32.77% in RMH.

You can see the circular reference going on here.

And just for some added spice, the founders of WeBuyCars (JSE: WBC) are sitting alongside Atterbury Property Fund in AttBid in their personal capacities.

It’s helpful to include the ownership diagram straight from the transaction circular:

This deal really boils down to one thing: RMH wants to unlock its capital and pay cash to shareholders, but the stake in Atterbury Property Holdings is incredibly hard to sell for structural reasons.

A minority stake in a company that doesn’t pay dividends is typically avoided by investors. If you can’t control the cash flows and you aren’t receiving any cash flows, then what justifies the value?

With no other buyers in town (and they certainly tried hard to find one), RMH shareholders face a tough choice here. It’s never good to have such little negotiating power in a corporate transaction.

This particular offer to shareholders in RMH is structured as a mandatory offer, as the concert parties bought up more than 35% of shares in the market. The price is R0.47 per share and there’s no minimum level of acceptance. Shareholders who want to monetise at this price can do so. Shareholders who want to stay invested can also do so.

The exception would be if 90% of holders accept the offer, in which case the offerors can invoke the squeeze-out provisions (s124 of the Companies Act) and force the remaining shareholders to sell.

But that’s not all, folks.

The entire RMH board intends to resign once the offer closes. No matter what happens, things will look very different going forwards.

It doesn’t look like RMH would immediately be delisted, but there’s an underlying intention by the Atterbury parties to work towards a delisting.

Investec, acting as the independent expert, has opined that the terms of the offer are fair and reasonable to RMH shareholders. I don’t think reasonability was ever in doubt, as RMH has already shopped this stake around town and came out empty handed. As for fairness, Investec’s estimated range is R0.47 to R0.53 per share.

The offer price of R0.47 is thus right at the bottom of the suggested fair value range.

In my opinion, the lesson to take from this entire saga is that non-controlling stakes in unlisted companies are dangerous things. This is exactly why investors place a marketability discount on these investment holding company structures.

It’s great to have a particular value on paper, but you need someone to actually pay you that number. When buyers are thin on the ground, the bid-offer spread widens (due to lack of liquidity) and things like this can happen.


Nibbles:

  • Just one nibble today – and it’s the results of the general meeting of Jubilee Metals (JSE: JBL) shareholders. They voted in favour of the resolution to reduce the share premium account, paving the way for dividends later down the line. The resolutions related to share issuances and pre-emption rights were withdrawn before the meeting.

Ghost Bites (CMH | FirstRand | Purple Group)

Combined Motor Holdings continues to do well (JSE: CMH)

They’ve done a terrific job of adapting to changing consumer tastes

When the Chinese car invasion really picked up speed on our roads, I was worried that the traditional distributors in this space (like CMH) would struggle to retain their market share. After all, disruption to a market can easily shake things up in a big way – just look at our local grocery sector!

CMH responded brilliantly though, with the latest trading statement showing just how well they are doing. For the year ended February 2026, HEPS is expected to increase by between 25% and 35%.

This suggests annual HEPS of between 504 and 544.3 cents. This puts the company on a Price/Earnings multiple of around 7x.

CMH’s share price is up 37% in the past year. If you include the dividend and look at the total return, it’s a 44% return! Impressive.

It gets even more interesting if you compare CMH to its two main rivals over the past 12 months. WeBuyCars (JSE: WBC) has struggled with its premium valuation, while Motus (JSE: MTH) has made the most of its vertically integrated model:

Which of these three would you choose to own over the next 3 years?


The FCA redress scheme in the UK is so bad that FirstRand is heading for the exit (JSE: FSR)

The provision is almost triple the profits made over a decade

Will South African companies ever learn when it comes to Europe?

The only thing that European regulators enjoy more than committees and electric cars is the ability to slap massive fines on commercial organisations. Bad behaviour clearly needs to be dealt with, but a combination of draconian policies and slow growth doesn’t exactly attract investment.

The UK Financial Conduct Authority’s redress scheme for the motor finance industry is just one excellent example. After a long court battle that went in the FCA’s favour, they’ve put forward a number that is so enormous that FirstRand will look to exit its UK consumer finance business entirely.

Get ready for it: the additional provision required is R11.9 billion. This takes the total provision to R17.7 billion.

In GBP terms, the total provision is £750 million. Over a decade, FirstRand’s vehicle finance activities in the UK generated profits of £275 million. Does this provision seem reasonable to you?

Thanks to the overall strength of FirstRand’s balance sheet, they can absorb this loss. But on a full-year basis, earnings net of the provision will drop by between 4% and 9%. Return on Equity will be at, or just below, the bottom-end of the target range.

Weirdly, the initial announcement reflected a decrease of between 10% and 15% in earnings, but then they provided the new range roughly 90 minutes later.

The damage by the regulator has been done. FirstRand has assessed the returns offered by the UK market and they’ve taken the regulatory risks into account as well. Based on this work, they’ve decided to facilitate an orderly sale of the Aldermore business in the UK.


Purple Group’s growth is firmly in the green (JSE: PPE)

The owner of EasyEquities is enjoying strong growth

As a Purple Group shareholder, I’m pleased to note the release of an encouraging trading statement by the company. For the six months to February 2026, HEPS is expected to increase by between 18.6% and 23.3%.

We will get full details this week, with final results due for release on Wednesday.

It would’ve been good to see an earlier trading statement from the company, although the midpoint of the guided range is only slightly above the threshold that triggers the release of a trading statement (a move of more than 20%).


Nibbles:

  • Director dealings:
    • An associate of a director of Lighthouse (JSE: LTE) – not Des de Beer – sold shares in the company worth R38.6 million. Let’s face it, if it was Des we were talking about, he would be buying rather than selling!
    • A director of AVI (JSE: AVI) received shares in the company and sold the whole lot for R7.8 million.
    • In the latest edition of musical shares in the Wiese family, they’ve reshuffled R6.9 million worth of shares in Shoprite (JSE: SHP).
    • One of the founding directors of Brimstone (JSE: BRT | JSE: BRN) bought N ordinary shares to the value of nearly R125k.
  • RMB Holdings (JSE: RMH) announced that AttBid acquired further shares in the company, taking its stake to 9.82%. If you the include the shares held by Atterbury Property Fund (32.77%), the parties hold a combined 42.59% of RMB Holdings shares.
  • Merafe Resources (JSE: MRF) announced that the deadline for the s189 consultation process with staff at its smelters has been extended from 7 April to 9 April. This is because Eskom asked for an extension based on negotiations between the parties. This one is going down to the wire.
  • Fortress Real Estate (JSE: FFB) announced that the scrip dividend alternative was elected by holders of 12.4% of shares in issue. This means that Fortress will retain R133 million in cash by issuing just over 6 million new shares.
  • Trustco (JSE: TTO) has renewed the cautionary announcement related to a possible delisting of the company’s shares. At this stage, there’s still no guarantee of which route they will take.

UNLOCK THE STOCK: Weaver Fintech

Unlock the Stock is a platform designed to let retail investors experience life as a sell-side analyst. Corporate management teams give a presentation and then we open the floor to an interactive Q&A session, facilitated by the hosts.

We are grateful to the South African team from Lumi Global, who look after the webinar technology for us.

In the 67th edition of Unlock the Stock, Weaver Fintech returned to the platform to talk about the recent numbers and the strategic outlook for the business. I am a shareholder in this company and I’ve been thrilled with the performance!

I hosted this event alongside Mark Tobin of Coffee Microcaps and the team from Keyter Rech Investor Solutions.

Watch the recording here:

PODCAST: No Ordinary Wednesday Ep124 | A crude awakening for inflation?

Listen to the podcast here:

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Interest rate cuts were meant to define 2026. Now, markets are bracing for hikes.

In this episode of No Ordinary Wednesday, Investec’s Chief Economists Annabel Bishop and Phil Shaw examine how the energy shock is forcing central banks to reconsider their path. From London to Pretoria, policymakers face a familiar dilemma: tighten into slowing growth, or risk letting inflation take hold.

Guest host Neo Ralefeta explores the implications for global growth and what it means for South Africa, from currency volatility to fuel supply risks and consumer costs.

Hosted by seasoned broadcaster, Jeremy Maggs, the No Ordinary Wednesday podcast unpacks the latest economic, business and political news in South Africa, with an all-star cast of investment and wealth managers, economists and financial planners from Investec. Listen in every second Wednesday for an in-depth look at what’s moving markets, shaping the economy, and changing the game for your wallet and your business.

Also on Apple Podcasts, Spotify and YouTube:

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