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Definition

A large, but not necessarily controlling shareholder. For example, PSG owns 30,7% of Capitec - which is a very substantial holding, but it does not have a controlling interest (i.e. more than 50%). A shareholder of reference is the company's largest shareholders and normally has a strong presence on the company's board of directors. In the banking sector, the term "shareholder of reference" has more meaning in that it is a major shareholder who would be approached by the Reserve Bank if the bank got into difficulties. However, there is nothing in the Banks Act about shareholders of reference. FNB is effectively controlled by RMI but Standard Bank's largest shareholder is the Industrial and Commercial Bank of China - which only holds 20%.

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