The agreement represents the first stage of a comprehensive programme by Boland Vineyards International, which trades as Boland Kelder, to involve women at as many levels as possible in the wine value chain.
BBI's shareholders count amongst the most influential women in the South African private and public sector. They include leading businesswomen like Dr Namane Magau and Dr Thandi Ndlovu.
In terms of the agreement BBI will acquire a 26% stake in a marketing, procurement and service company at present wholly-owned by Boland. Of the remaining shares 10% will be allocated to a workers' trust beneficially owned by Boland's cellar workers.
Boland chairman Jannie le Roux says he and his fellow directors decided on a BEE strategy they believe would create meaningful opportunities for people of previously disadvantaged communities to enter the wine industry: "We wanted to develop this initiative at various levels in the wine value chain, from grape production to winemaking, bottling and labelling to marketing and distribution.
"We are already facilitating land ownership initiatives at producer level by working with some of our larger suppliers to introduce BEE land ownership schemes on their farms while negotiating with others to acquire land for employees of Boland to produce grapes we will process. We are reserving 25% of Boland's shares for future BEE producers and farm workers."
Speaking on behalf of BBI, Magau said she and her fellow investors believed this venture could be used as blue print for future BEE business enterprises in the South African wine industry: "We have been searching for a suitable partner in the wine industry with which we can combine our considerable knowledge and experience in the business world. Through business initiatives we aim to promote alliances and communities which will strengthen participation of the broader South African communities in the wine industry."
