Investec Bank Limited (Oct 2023)


Investec Bank Limited (IBL or the bank) is a specialist corporate and private banking financial institution controlled by Investec Limited (the group), a holding company that houses the Southern African operations of the overarching Investec group. GCR considers IBL the core operating entity of the group, representing 93.6% of total assets and 86.9% of its operating income as of the financial year ending 31 March 2023.

Investec Limited’s structure continues to be refined, reflecting its core focus on specialist banking as well as wealth and investment product offerings primarily targeted at the South African market. Accordingly, and after the distribution of its Ninety One Limited interest to shareholders in May 2022, the stake in IEP Group Proprietary Limited (IEP, recently renamed Bud Group Holdings, the investment holding company in which the group’s private equity interests are vested) was reduced to 38.3% in the first half of the financial year ending March 2024 (March 2023: 47.4%, with a fair value of ZAR4.7bn). This followed the restructure of IEP to allow for the exit of Investec Limited and other shareholders via share buyback(s) and the realisation of some IEP assets after the 2023 financial year-end. While the group still holds a 24.3% proportionate stake in Burstone (formerly Investec Property Fund), the interest will no longer be consolidated following the fund’s internalisation of its management company in June 2023. Outside these interests, Investec Limited has small equity investment exposures, which represented 8% of the Group Investments segment as of March 2023. Future progression of the investment portfolio is expected to be restrained, with the group only likely to participate in strictly selected ventures alongside clients.

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