IMD-1-0230 © 2005
Leleux, Benoit F.; Ogunsulire, Mope; El-Agamy, Hischam
WIPHOLD raised its money from disenfranchised black women in the townships to invest in mainstream economic activities. From boutique investment fund; it fast established itself as one of one of the movers and shakers and the key drivers of economic authorization in the South African financial services community. The A-case links between 1994 and 1997; the founders; successful black business women and four dynamic; took their bold vision of black economic empowerment to grassroots women in South Africa.
The "WIP Four" raised money; reached their first deals; got the women's buyin; chose an all-women (but mixed race) board and structured the girls-only IPO. However, the goal was ambitious; to raise R40 million from numerous women who were merely being introduced to the notion of investment; giving as little as R600 each (for 200 shares) for their position. This case series was the 2005 EFMD award winner in the class “Managerial Problems in Transitory Economies”.
Wiphold A Beyond Labor And Consumption Abridged Case Solution
Subjects: Entrepreneurship; Private equity; South Africa; Economic empowerment; Black economic empowerment; BEE; Postapartheid; Social entrepreneurship; Development finance; Special purpose vehicles
Settings: South Africa; Financial services; US$165 million; 1994-1997
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