Ayo valuation deliberately inflated before listing on JSE, PIC inquiry told
Salie said it was Sekunjalo chairperson Iqbal Survé who gave the instruction to inflate the value of the firm.
JOHANNESBURG - Ayo Technology Solutions chief investment officer Abdul Malick Salie told the Public Investment Corporation (PIC) inquiry the company’s valuation was deliberately inflated before it listed on the Johannesburg Stock Exchange (JSE).
Salie said it was Sekunjalo chairperson Iqbal Survé who instructed officials to inflate the value of the firm.
“Based on the storyline, the new model and supplementing other Sekunjalo Group IT assets into Ayo, Dr Survé was of the view that the desired value of Ayo was to be set between R10 billion and R15 billion,” he said.
The commission was investigating allegations of wrongdoing at the PIC, which manages over R2.2 trillion of state employees' pensions.
In 2017, the PIC invested R4.3 billion in Ayo, acquiring a 29% stake in the company that was falsely valued at over R14 billion.
WATCH: Former Ayo board member gives insight into PIC investment
(Edited by Zamangwane Shange)