Brait reduces stake in Premier group to $284.4 million

Omokolade Ajayi -
Key Points
  • Brait SE reduced its stake in Premier Group, decreasing its economic interest to $284.4 million, down 2.04%.
  • The divestment follows a successful $41.3 million offering backed by major financial institutions, boosting market confidence.
  • Brait's first-half 2025 net profit surged 129.05% to $56.45 million, reflecting strong growth amid market challenges and a focus on shareholder value.

Brait SE, the South African investment holding company with billionaire businessman Christo Wiese as one of its major stakeholders, has divested a portion of its stake in Premier Group, marking a strategic move in its efforts to optimize its investment portfolio.

Following the reduction, Brait’s stake in Premier is now valued at $284.4 million, reflecting a decrease of $17.96 million, or 2.04 percent, in its economic interest. In addition, Brait’s beneficial interest in Premier Group has dropped by 1.23 percent, now standing at 19.4 percent.

This represents a continued focus by Brait on refining its holdings and increasing shareholder returns, with the company now holding a 32.34 percent economic interest in Premier Group, down from its previous position. These adjustments align with Brait’s broader strategic vision of streamlining operations to improve capital efficiency and increase financial resilience.

Institutional backing strengthens transition

Brait’s decision to reduce its stake in Premier comes after a successful R750 million ($41.3 million) accelerated bookbuild offering earlier this year.

The offering was well-supported by leading financial institutions, including FirstRand Bank, Investec Bank, and Standard Bank, which acted as joint bookrunners.

This institutional backing highlights strong market confidence in the transaction, reinforcing Brait’s efforts to recalibrate its portfolio.

Premier Group, which operates across the food and beverage, sugar confectionery, and personal care sectors, serves a global customer base through its subsidiaries. The company’s diverse product offerings have helped maintain its relevance in multiple international markets.

Financial performance and resilience amid market evolution

Brait, founded in 1976, has evolved into a diversified portfolio of unlisted consumer businesses, including Premier Group, Virgin Active, and Consol. The company's recent R1.5 billion ($82.3 million) rights offering highlights its commitment to strengthening its financial position amid shifting global market conditions.

Under Wiese's leadership, Brait has shown strong operational and financial growth. The company reported a 129.05 percent year-on-year increase in net profit for the first half of 2025, reaching R1.02 billion ($56.45 million), up from R444 million ($24.64 million) in the same period last year. This reflects Brait’s ability to thrive in a challenging economic environment while focusing on long-term shareholder value.

Brait's latest portfolio adjustments underscore its strategic shift, balancing capital discipline with continued growth in key sectors. With a stronger financial position and robust institutional backing, the company is well-positioned for sustained success.