BUSINESS MAVERICK: Holding companies: When the sum of the parts is greater than the whole

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BUSINESS MAVERICK: Holding companies: When the whole is greater than the sum of the parts By Ruan Jooste

Whether it is Remgro, PSG or Naspers in South Africa or Wall Street’s Berkshire-Hathaway – the most successful of all investment holding companies across the globe – the one thing that most of these firms have in common is that they usually trade for less than the combined value of their holdings.

CEO Robert Katz – doubling up as group CFO after Claire Coward’s recent resignation – says the board continues to engage with the interested party, emphasising that the negotiation does not constitute a firm intention to make an offer and may result in nothing. This is against a backdrop of a challenging local and global economic environment, and in the context of a total all-inclusive headline earnings per share basis that is down by 40%, says Katz.Citadel’s assets under management were positively impacted by the weakness of the rand,” says Katz. Its clients’ portfolios are predominantly set offshore.

öller, CEO of Citadel. He adds that the organisation plans to launch a separate family office offering in the third quarter of next year.

 

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