National Empowerment Fund

August 2010

Presenter

Mr. Milko Škoro Investment Principal

Mission Statement

“The National Empowerment Fund (NEF) is the catalyst of broad

based Black Economic Empowerment in South Africa.

We enable, develop, promote and implement innovative investment

and transformation solutions to advance sustainable Black economic participation.”

Organisational Structure

CHIEF OPERATING OFFICER

STRATEGY & PLANNING

MARKETING & COMMUNICATION

SYSTEMS & IT

EXECUTIVE: HUMAN RESOURCES

HUMAN RESOURCES

SUPPORT SERVICES

Executive (member of Exco)

Senior manager

Manager

EXECUTIVE: ASSET MANAGEMENT

BEE RETAIL INVESTMENTSMANAGEMENT OF SAIs

RETAIL PRODUCT ISSUES

CHIEF FINANCIAL OFFICER

FINANCE

PROCUREMENT

TREASURY

CHIEF INVESTMENT OFFICERFUND MANAGEMENT

IMBEWU FUND

PRE-INVESTMENT BUSINESSSUPPORT

LEGAL SERVICES

UMNOTHO FUND

POST-INVESTMENT BUSINESSSUPPORT

LEGAL COUNSEL

COMPLIANCE & RISK

INTERNAL AUDIT

SECRETARIAT

BOARD OF TRUSTEES

CHAIRMAN

EXECUTIVE COMMITTEE

MANAGER: OFFICE OF THE CEO

AUDIT COMMITTEE

RISK MANAGEMENT COMMITTEE

HUMAN CAPITAL & REMUNERATION COMMITTEE

BOARD INVESTMENT COMMITTEE

CHIEF EXECUTIVE OFFICERCHIEF EXECUTIVE OFFICER

CORE DIVISIONS

NEF MandateKEY OBJECTIVES OF THE NEF: Promote and support business

ventures pioneered and run by black people;

Promote the understanding of equity ownership among black people;

Provide black people with direct and indirect opportunities to acquire shareinterests in State Owned and private business enterprises;

Encourage and promote investments, savings and meaningful economic participation among black people.

Ship Building Environment

Industry Ship User

Ship Owner

Ship ManagersCharter Party

Agreement

Ship Builder

Ship Building Agreement

Regulatory Environment

- International cargo ownership - Vessel ownership laws (SA vs. Int.) - Safety standards - Finance, trade, FX, Investment - Building regulations SAMA and Int. - International compensation standards- Maritime Safety - Domecillium of owners - Domecellium vs. operational laws- Logistics - Financiers security requirements - Enforceability of labour laws

- Project Finance - International rights to vessel - SA Maritime Charter - SA Maritime Charter - SA Maritime Charter

Ship Builder

Ship Owner

Industry Ship UserCharter Party

AgreementShip Managers /

Operators

Ship Building Agreement

NEF’s Role Funder to:

Ship Builders Ship Owners Ship Operators Charter Parties

Long Term Funding ( 7 – 10 Years) Understand the Maritime Markets nuances Structure according to project needs Structure according to ownership needs Seek to promote a partnership model Mitigate risk through smart structuring

What Do We Need?

Comprehensive Business Plan Detailed Financial Models - Backed up with

Contracts Proven Expertise / Technical Partnerships Operational Involvement Off-take agreements BB-BEE Skills Transfer Growth in Capacity

Thank You