South Africa: iOCO Regains Black-Owned Status After EOH Scandal

iOCO spent R89 million on skills development and delivered 39 learning programmes. (Source: iOCO) JSE-listed iOCO has regained its status as a black-owned company, lifting black ownership by almost 12 percentage points to 56.47%, as it continues to turn around from scandal-hit EOH. Its latest empowerment certificate, issued by EmpowerLogic, shows it is 21.64% owned by black women, 5.73% by black youth and 3.32% via black new entrants. By comparison, its empowerment certificate, issued a year ago and revised last in May, shows that it was 44.66% black-owned, with each of the categories having been lower than its current levels. In terms of shareholder ownership, the company’s records show the Government Employees Pension Fund, Africa's largest pension fund, lifted its stake from 5.23% to 6.42% over the year to 31 July 2026, while Lebashe Investment Group’s holding fell from 17% to 14.36%. The two other registered holders of 3% or more, Stanlib 1vest and the HSBC Private Bank Suisse Omnibus client, barely moved and now hold 4.63% and 13.84%, respectively. iOCO rebranded from EOH in December 2024 after a 2019 ENSafrica investigation uncovered governance failures and around R1.2 billion in suspicious transactions, largely linked to public sector contracts. Following its rebranding and implementation of a growth plan as it shook off its EOH legacy, iOCO streamlined its operations, selling eight legacy businesses inherited from EOH between November 2023 and July 2024. In the 12 months to July 2025, it reported its first full-year profit since it rebranded from EOH. For that period, earnings per share improved to 40c from a loss of 10c a share in the prior year, with the most recent prior period in which it made a profit being in the midst of the scandal, in 2019. Having completed the first two phases of its turnaround by the end of January 2026 – cost rationalisation and decentralisation – iOCO said in March it had shifted its focus to capital allocation and growth. It increased profit after tax by 39% to R357 million for the year ended 31 July 2026, as improved margins and lower finance costs boosted earnings. The listed company also retained its Level 1 B-BBEE Contributor status for an eighth consecutive year, which it says demonstrates “the continued integration of transformation within the group’s strategy and operating model”. iOCO says regaining its black ownership stake strengthens its transformation credentials and supports its aim of widening access and participation for stakeholders. Its 2026 annual report indicates it recorded R89 million in recognised skills development spend and delivered 39 learning programmes, covering digital skills, data and artificial intelligence, leadership, commercial capability and workforce development. OCO’s shares are down 8.26% over five years. iOCO also recorded 17 310 learning hours across 1 840 active platform learners and supported youth through learnerships, internships and high-impact development programmes, placing 160 youth on learnerships in the year to 31 July 2026. Its adult education and training initiative provides funded learning opportunities for employees who have not completed matric. The listed company absorbed 73 unemployed people with disabilities into permanent employment – it now has 123 staff with disabilities on board – and reports R7.3 million in skills development spend for people with disabilities. Its women’s empowerment initiatives include Women in Leadership, Tech-Her-Way and Lean In Girls, which focus on leadership development, participation in technology and the development of confidence and leadership skills among young girls. Women accounted for 60% of learnership participants and 56% of leadership-development enrolments. Through enterprise and supplier development, iOCO supported 35 black-owned small, medium and micro enterprises (SMMEs) and, it says in a statement, recorded R16 million in recognised spend supporting SMMEs. The company also has education a

Source: Original reporting via ITWeb