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Investingmade easy.Your turn.
CONTENTS3Letter from the BoardMaking our MarkOur LeadershipCorporate Governance314161826Directors’ Responsibility for FinancialReportingIndependent Auditor’s Report2627283031Consolidated Statement ofProfit or Loss35Consolidated Statement ofOther Comprehensive Income36Consolidated Statement of FinancialPosition37Group Secretary’s ReportDirectors’ ReportReport of the Audit CommitteeConsolidated Statement of Changes inEquityConsolidated Statement of Cash FlowsNotes to the Consolidated Statement ofCash FlowsSegmental AnalysisAccounting PoliciesNotes to the ConsolidatedFinancial StatementsShareholder Analysis82Notice of Annual General MeetingShareholder RightsBrief Curriculum Vitae of DirectorsStanding for Re-electionForm of ProxyNotes to the Form of ProxyCorporate InformationPURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 2019383940414356808289909192931
70%Investing for everyone.EasyEquities celebrated its fifth birthday shortly after the current financial year ended.In that period we have grown our platform assets to R9.0 billion. As one of South Africa’smost accessible investment platforms, we are proud of how we have redefined the investmentlandscape for first time investors. Our community now use their Rand denominated InvestmentAccount, Retirement Annuity Account, Tax Free Savings Account, US Dollar denominatedInvestment Account and Goal driven/Advised Investment account to satisfy their Do-It-Yourself("DIY"), managed and guided investment needs.100%Trade to win.South Africa’s first CFD provider, GT247.com, remains one of South Africa’s leading tradingplatforms. With its bespoke research, experienced traders, low cost and many awardsunder its belt – including Top Online Stockbroker in the annual Intellidex Investors Monthlysurvey – the team at GT247.com remain dedicated to helping their thousands of clients placesuccessful trades.100%The adventure is yours to have. At your pace, altitude and risk level.We use four main building blocks to construct our portfolios: Value, Quality, Stability andMomentum. You can invest in any one of these building blocks, or a combination of them,as part of an equity portfolio that matches your defined risk-return objectives. Each of thesebuilding blocks is driven by different risk factors and in 2019 the team worked hard atachieving above market returns for their clients.2I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITED
LET TER FROM THE BOARDPOW E R I N PART NERS H IP S , EXTRAORDINARY GROWTHPurple Group had a great year all round.Group revenue increased by 40% whilst costs were contained at 6%. Overall this resulted in a 64% decline in the basic loss per share.Trading revenue is solid and the group’s ambitious growth strategy in EasyEquities has again been evidenced in this year’s result.It has taken some time and management determination and effort to get GT247.com, our award-winning trading business, back ontrack. GT247.com reported a profit before tax of R17.7 million, up 73% over last year.Looking ahead now, there is no doubt that EasyEquities will continue to be at the heart of what drives the Purple Group. EasyEquitieshas established itself as a leading Fintech retail brand in South Africa, as our many awards and growing client base attest.Organic growth continues to play its part, however, more and more it’s our partnerships that are going to set us apart.Platform assets grew 157% over the past year, and more than R4.5 billion of that growth came from partners, RISE, being the mostsignificant of these. RISE is a retirement fund administration and investment fund management business which is 50% owned byEasyEquities. Our strategy of expanding, diversifying and strengthening our multitude of client acquisition channels is bearing fruit.This is a far cheaper form of client acquisition and we are extremely proud of and grateful for the quality of our partnerships and thevalue they add to our business.Sanlam, through Satrix (South Africa’s first ETF provider, which turns 20 next year) and its SatrixNOW platform has in so many waysproven to be the blueprint of an ideal partner. Sanlam have now added the EasyEquities savings functionality to their innovative SanlamReality credit card and the transfer of circa 50 000 clients and a further R6 billion of assets in the first quarter of 2020, will furthercement our mutually beneficial relationship. Our number one priority remains to ensure we scale efficiently and effectively not only forthis partner but all those who have entrusted us with their brands. Sanlam owns 30% of EasyEquities.As the EasyEquities business matures, winning awards becomes less important to us than delivering on the promise of the manyawards we have won in the past. We were nonetheless delighted to again be acknowledged as best Tax-Free Savings Account providerin the country and GT247.com and EasyEquities filled first and second positions in the Top Online Stockbroker category, as voted bythousands of retail users and validated through rigorous research by Intellidex and media partners Financial Mail Investors Monthly.Through our various products and services, clients can choose everything from DIY investing, managed portfolios through to goalbased robo-advice or any combination of these, ensuring that we are capable of catering to the changing needs of all investor types, notjust locally but abroad too. No other platform provides the choice, competitive pricing, easy user experience and value-for money thatEasyEquities does. We are especially excited that more than 65% of our customers and revenue come from clients under the age of 37and more than 95% of them are first time investors.Our incredible employees are a mixture of experienced team members who have been with the business for over a decade complementedby a passionate group of young, smart and dedicated individuals who continue to join our ranks all the time. Our agile HR approachenables all these people to make meaningful contributions as we continue to lead the way in making investing accessible, profitableand fun for all South Africans.We invite you to follow our journey on Facebook, LinkedIn, Instagram and Twitter as the next financial year promises to be even moresuccessful with the further acquisition of clients by RISE, the launch of our Australian venture and the conclusion of new partnershipsthat will drive platform clients and assets.The re-constituted Board of Purple Group saw the appointment of a new Chairman, Happy Ntshingila, and two new non-executivedirectors, Bonang Mohale and Arnold Forman, increasing the diversity of the Board.With thanks to all in the Purple Group and EasyEquities communities and a special thank you to Ronnie Lubner (who sadly passed awayin December last year) for his guidance, support and friendship over so many years. He is sorely missed around the boardroom table.PURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 20193
L ET TE R F RO M T HE BOARD CON T I N UEDGROUP REVENUEINCREASED BY GROUP COSTSINCREASED BY40% GROUP BASIC LOSS PERSHARE AT 1.06 CENTS6% 64%(FY 2018: LOSS 2.94c)PLATFORMASSETS INCREASEDBY 157% TOEASYEQUITIESREVENUEINCREASED BYFUNDED RETAIL INVESTMENTACCOUNTS INCREASEDBY 62% TO111 331R9.0bn157%(FY 2018: 68 739)(FY 2018: R3.5 BILLION)RISE MANDATESTOTALLINGTOTAL RETAILDEPOSITS INCREASEDBY 27% TOEASYEQUITIES AWARDEDBEST TAX-FREE SAVINGSACCOUNT FOR THEFIFTH TIMER5.4bnR1.5bn(FY 2018: R1.0 BILLION)(FY 2018: R1.2 BILLION)PLATFORM ASSETS (R’M)FUNDED INVESTMENT ACCOUNTS (’000)10 0008 9528 0006 0004 0002 0003 4668701421020164201720182019I N T E GRAT ED AN N UAL RE PORT 2 0 1 91201101009080706050403020100111,3RETAIL DEPOSITS (R’M)2 0001 5401 5001 21768,71 00069338,850020,84330201620172018PURPLE GROUP LIMITED20192016201720182019
GT247.COMTRADINGREVENUEINCREASED BYPROFIT BEFORE TAXINCREASED BY73% TOGT247.COM COSTSDECREASED BY6.8%6.2% R17.7m (FY 2018: 13.9%)(FY 2018: 14.7%)(FY 2018: 141%)GT247.COMAWARDED TOPONLINE BROKERFOR 2019GT247.COMAWARDED SECOND BEST CFDPROVIDER FOR 2019TRADING REVENUE (R’M)TOTAL COSTS (R’M)PROFIT BEFORE TAX 0605040302010081574220152016 201748201851201951201553462016 2017392018372019PURPLE GROUP LIMITED5426420152016 2017102018182019I NTEG RATED ANNUAL REPO RT 20195
L ET TE R F RO M T HE BOARD CON T I N UEDE X E C U T I NG ON OUR ST RATEGYEasyEquities leverages its innovative investment platform and technology stack through various distribution channels:Core offeringDIYINTAX FREESAVINGS ACCOUNTPROVIDENTAND PENSIONPRESERVATIONRETIREMENTANNUITYACCOUNTUS ENTACCOUNT(Coming soon)EasyEquities solves three customerproblem statements through a world firstsingle platform:ADVISG EDNAAMSA NTAOUCCACCOUNTSINVESTMENTACCOUNTSFounded in South Africa in 2014,originally targeting the heavily underinvested Millennial Generation,EasyEquities was built with the deepdesire and purpose to democratise allthings investing. Since then it’s been awonderful journey. A library of globalawards and powerful partnershipsgives credence to our success, havingwon everything from Best Fintech, BestStartup, Most Innovative Business andTop Online Stockbroker. But the realrewards come from our customers andthe testimony they give to the differencewe are making in changing their financiallives, and the incredible stories of everyday South Africans taking up investingfor the very first time. NTS 1Direct2SatrixNow34Bidvest Bank GrowAccountCorporate PartnershipsDISTRIBUTION CHANNELS5Member Portaland executionCustomers that know what sharesthey want to buy. (DIY Investing)Customers that don’t know whatshares they want to buy and preferto have their money managed bya market professional. (ManagedPortfolios)Customers who have financialgoals but lack the confidence andunderstanding to match these goalswith their risk tolerance, time horizonand capital constraints. (Goal-BasedInvestment Guide)We built our loyalty program, Thrive,to drive and shape long-term investorbehavior rewarding them through zerobrokerage benefits and other lifestyleexperiences and enticing them to levelup their education through our academy,build community through our referral andvouchering tools, and stay financially fitby putting their education into practice onthe platform.Distribution channels 6Customers are acquired directly by EasyEquities through various marketing initiatives and more importantly through referrals from existingcustomers (40% of clients are acquired through referrals);EasyEquities has white labelled its core platform to SatrixNow, who utilises the platform to attract customers to invest in Satrix’sETFs and Unit Trusts.EasyEquities has provided customers of the Bidvest Bank Grow Account the opportunity to invest seamlessly through the BidvestBank Grow Account App, into the various investment products offered on the EasyEquities core platform.EasyEquities has been appointed by RISE to provide execution services in respect of investment mandates secured by RISE andoffer members of funds administered by RISE various investment accounts as detailed above.I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITED
PURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 20197
L ET TE R F RO M T HE BOARD CON T I N UEDEXECUTING ON OUR STRATEGY CONTINUED SPARENTTRANSERVICES FUND ADMINISTRATION EPLMSIEINDIVIDUAL SAVINGSAF ISTRATION,INVESTMENTMANAGEMENT& INDIVIDUALSAVINGSREAL-TIME,ONLINE ACCESSTO RETIREMENTSAVINGSRETIREMENTSAVINGS ANDDISCRETIONARYSAVINGS ALL ONONE PLATFORMADMINISTRATION PLATFORM & MEMBER PORTAL8I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITED A joint venture (50/50) with NBC FundAdministration Services, registeredas Retirement Investments andSavings for Everyone (Pty) Ltd andtrading as RISE, is a one-stop-shopintegrated institutional administrationand investment fund managementbusiness.Through its proprietary administrationand investment management system,coupled with a first-of-its-kind membersavings portal, RISE is equipped toreduce the cost of administration andprovide unparalleled efficiency andtransparency to all stakeholders.Contributions are seamlessly investedinto selected portfolios and claimsprocessed within 96 hours ofsubmission.Members are provided with real-time,online access to view their retirementsavings and the ability to complementtheir retirement savings throughvarious investment accounts. Thisincludes a Rand-based InvestmentAccount, a USD Investment Accountand a Tax-Free Savings Account withno minimum investment amounts orpre-scribed investment periods.
PRIVATEORKEINVESTMENTACCOUNTSBRISSS(ANG)TRADITEDSA EQUITY CFDs(Rand account)GT247.com is the trading destination foractive derivative traders. GT247.com isan important complementary service fortraders who require market leverage atcompetitive rates. The platform providestraders with access to trade equity CFDs(listed on the JSE) and derivatives inrespect of over 60 currency pairs, allmajor international indices, commoditiesand cryptocurrencies using Rands.GT247.com offers the lowest commissionrates in the market for retail investors,being 10 basis points. This, coupled withthe Meta Trader 5 Trading Platform,provides a compelling and competitiveoffering for our clients.GINLOCAL & INTERNATIONAL INDICES,COMMODITIES & CURRENCIES(Rand account)(US dollar account)DRABIT COIN AND ETHEREUM(Rand account)(US dollar ICES IN RANDLATEST PLATFORMFEATURES ANDFUNCTIONALITY(10 BPS COMMISSION)META TRADER 5 PLATFORMPURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 20199
L ET TE R F RO M T HE BOARD CON T I N UEDEXECUTING ON OUR STRATEGY CONTINUEDAIL –RETSEGREGATED PORT FOLI OSSINL–ONAUT ITITPORTFOLIOSHEDGE FUNDINCOMEASSET MANAGEMECONSERVATIVEMODERATEBALANCEDHIGH EQUITYINTERNATIONALEQUITYNT140/40 PORTFOLIOSERVICLEVERAGED EQUITYESUNIT E ACCESS(BIG DATA, ALGORYTHMIC,RISK PREMIA INVESTING)KEY DIFFERENTIATORS10I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITEDThe strategy for Emperor AssetManagement is to broaden the offeringand client base through offeringmanaged portfolios on the EasyEquitiesplatform and securing institutional assetmanagement and consulting mandates.Over the past few years severalinvestment strategies were formulatedand listed on the EasyEquities platform.The offering caters to a broad range ofinvestor risk/return requirements.Emperor Asset Management is one of theinvestment managers appointed by RISEto manage a portion of the investmentmandates secured by RISE.
F I N A N CI AL ANALYS ISConsolidated statement of profit or loss2019R'000RevenueCommissions and research expensesOperating expenses2018R'000Movement%98 476(3 143)(100 756)70 216(3 982)(93 825)40(21)7Net lossOther income(5 423)33(27 591)4 069(80)(99)Loss before interest, depreciation and amortisationNet interest expenseDepreciation and amortisation(5 390)(3 650)(9 813)(23 522)(4 316)(8 500)(77)(15)15Loss before fair value, impairment adjustments and taxFair value impairments and guarantee adjustmentsShare of profit/(loss) of joint venture(18 853)1023 474(36 338)(6 760)(483)(48)(102)(819)Loss before taxIncome tax benefit(15 277)3 264(43 581)10 443(65)(69)Loss for the period(12 013)(33 138)(64)(9 544)(2 469)(26 667)(6 471)(64)(62)(1.06)(2.94)(64)Loss attributable to:Owners of the companyNon-controlling interestsLoss per shareBasic loss per share (cents)The Group recorded an attributable loss for the period of R9.5 million compared with R26.7 million in the prior year. The basic loss of1.06 cents per share compares with a loss of 2.94 cents per share in the prior year, an improvement of 64%.The net loss before other income of R5.4 million realised in the current year has decreased by R22.2 million, an improvement of 80%.PURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 201911
L ET TE R F RO M T HE BOARD CON T I N UEDFI N AN C I AL AN A LYS IS C O NT INU EDEasyEquities2019R'0002018R'000RevenueCommissions and research expensesOperating expenses40 807(588)(51 961)15 880(884)(42 049)157(33)24Net lossOther income(11 742)30(27 053)625(57)(95)Loss before interest, depreciationand amortisationNet interest incomeDepreciation and amortisation(11 712)3 636(8 874)(26 428)2 492(7 594)(56)4617Loss before joint ventureShare of profit/(loss) of joint venture(16 950)3 474(31 530)(483)(46)(819)Loss before tax(13 476)(32 nt%4 27751 2282 60147 96964755 505(2 256)(34 702)50 570(2 413)(37 007)10(7)(6)Net incomeOther income18 547311 150–66(100)Profit before interest, depreciationand amortisationNet interest expenseDepreciation and amortisation18 550–(875)11 150(113)(843)66–4Profit before tax17 67510 19473Asset management executionTrading revenueRevenueCommissions and research expensesOperating expenses 12Trading Revenue is up 6.8% comparedto the prior year, driven by a generalincreaseinmarketvolatility,specifically during the first half of thefinancial year, which drove tradingrevenue. Total expenses are 6.2% lower dueto various cost saving initiativesimplemented over the past 24 months.Compared to FY 2016, total costs inrespect of this business have decreasedby 31.9% (R17 million p.a.).The revenue generated from assetmanagementexecutionrevenueincreased by 64%, driven by higherlevels of leverage employed across theleveraged equity strategies, as marketconditions for Emperor’s strategiesimproved.I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITED EasyEquities revenue was up 157%.Total expenses increased by 22.4%primarily due to higher employmentrelated costs, a bonus provision raisedat year end and moderate increasesacross the majority of other costs,commensurate with the growth inthe business. Employment costsincreased by 19%, comprising anaverage annual increase of around6.5% and the remainder accountedfor by additional resources onboardedduring the year. A bonus provision ofR4 million was raised at year end forall staff and executive management,whereas no bonuses were paid in theprior year.EasyEquities’ 50% shareholding inRISE added R3.5 million to the bottomline this year.
FI N AN C I AL AN A LYS IS C O NT INU EDEmperor Asset sions and research expensesOperating expenses2 109(270)(3 529)3 707(453)(5 775)(43)(40)(39)Net incomeOther income(1 690)–(2 521)–(33)N/ALoss before interest, depreciationand amortisationDepreciation and amortisation(1 690)(36)(2 521)(26)(33)38(1 726)102(1 624)(2 547)(220)(2 ons and research expensesOperating expenses55(29)(10 564)59(232)(8 994)(7)(88)17Net lossOther income(10 538)–(9 167)3 44415(100)Loss before interest, depreciationand amortisationNet interest expenseDepreciation and amortisation(10 538)(7 286)(28)(5 723)(6 695)(37)849(24)(17 852)(12 455)43(6 540)(N/A)(17 852)(18 995)(6)2019R'0002018R'000Movement%RevenueOperating expenses18 163(8 316)1 606(2 948)1 031182Profit/(loss) before taxTaxation (expense)/benefit9 847(2 899)(1 342)376(833)(871)Loss before fair value adjustmentsFair value adjustmentsLoss before taxPurple Group Limited and InvestmentsLoss before fair value, impairmentadjustments and taxFair value, impairment and guaranteeadjustmentsLoss before tax–Movement%RISEProfit/(loss) after tax6 948(966)(819)EasyEquities share of profit/(loss) after tax3 474(483)(819)PURPLE GROUP LIMITED Revenue has decreased by 43%during the period, primarily due to adecrease in client funds invested in itsleveraged strategies, which have notperformed well over the past 3 years,however, for the current calendar yearthe majority of the Emperor portfolioshave outperformed their respectivebenchmarks, including the leveragedstrategies.The future revenue growth will bedriven through retail distributionon the EasyEquities’ platform andsecuring institutional flows.Operating expenses have increasedby 17.5% primarily due to the capitalraising fee of R2 million paid in thecurrent year.RISE secured various administrationand asset management mandatesduring the second half of FY 2019,increasing total mandated funds toR5.4 billion at 31 August 2019. Themandates secured are primarilycomposite mandates comprising bothretirement fund administration andAsset management services.I NTEG RATED ANNUAL REPO RT 201913
MAKING OUR MARKBorn to Run – EasyEquities loves supporting the hundreds ofHealth and Fitness – Jessica (our FX queen and clientJSE She Invests – EasyEquities has a higher percentage ofwomen investors than many other platforms and we strive to makeinvesting even easier for women in all stages of their lives. With ourguest speaker, partner and legend asset manager Anthea Gardner(you can buy her #Invest bundles on our platform) the Easy teamloved engaging with thousands of women at this annual day atthe JSE. Thanks to our partners from Satrix who, as always, makemagic with us.Expo – Annually we take part in LeaderEx and every yearour team is invigorated by the thousands of users, hungry forinformation, who descend on our stand. This year our ClientEngagement lead coach Waylon (who is also a Gauteng touchrugby coach in addition to being one of our top performers)designed an Around the World in 80 ETFs stand.runners in our running club – many of them first time athleteswho, like first time investors, never thought they could. Picturedare Shaun (our ETF guru) and his wife Kate running Comrades(a few weeks after tying the knot!) Our community lead diverse,active lives.engagement champion) started a netball team. They are fiercecompetitors – Jessica likes to win. At EasyEquities we supportteam members in various activities, believing that life work lifeand that a good work/life balance is one where all team matescan lead authentic lives.Top Stockbroker Awards – for the fifth year running in 2019, EasyEquities won best Tax Free Savings account provider in theseprestigious awards held at the JSE and run by Intellidex and Investors Monthly. With a slew of other awards, including Top OnlineStockbroker for GT247.com, we celebrated the night away!14I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITED
Mandela Day 2019 – Our team worked with refugees onMandela Day to bring some light into the lives of people whostruggle owing to displacement and xenophobia. Much ofour engagement is driven by exco member Bev Ferreira whohas a love of people and believes in doing good, always.EFC The Fighter – Our brand champion Standwa may besmall in stature, but with his team mates, and via a multitude ofevents such as EFC, he gets around to engage with the diverseEasy community – displaying his massive passion for the brand.Here he is with one of SA’s top EFC legends wearing socksfrom Thedeerfactory – also a part of our community.Thriving – our loyalty programme came alive in our newoffice space. Thrive with us!Salty Hour – Born out of East London, this initiative now has a national footprint. Unlocking children’s confidence through surfing,we are proud of our digital brand champion Jono for creating this initiative and getting us involved in it. Join us when next you atthe beach!PURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 201915
OUR LEADERSHIPH A PPYN T S H I N G IL A– 58MARK BARNE S– 63CHARLES SAVAGE GARY VAN DY K– 46– 42Non-executive directorGroup CEOGroup CFOOIndependent non-executiveChairmanMark Barnes graduatedfrom UCT with a BusinessScience degree in ActuarialScience and attended aManagement Programmeat Harvard Business School.Mark is widely known as aninvestment banker in SouthAfrica. He has 30 yearsof experience in financialservices, holding positionsof leadership at StandardBank, Capital Alliance andBrait. Mark has had a wideexposure to financial marketspreviously as head of thebiggest treasury operation inSouth Africa and as Chairmanof the South African FuturesExchange. He is currently asignificant shareholder in thePurple Group.Charles completed a BComAccounting and InformationSystems at the University ofCape Town in 1996. For nearly20 years he has been activein financial markets with astrong focus on technology,business development andleadership. Charles was partof the team that pioneeredCFD and spread trading inSouth Africa and in 2000 heled the development of theworld’s first fully automatedonline Spread Tradingplatform. He was electedto manage GT247.com’sSouth African operations in2003 where he was part ofthe Global Trader Executive.Charles is now responsiblefor strategically leading theoperating business units of theGroup.Gary completed his articlesat KPMG at the end of 2002 atwhich time he qualified as aChartered Accountant.Happy Ntshingila is Chairmanof Washirika 3 Oaks. He waspreviously Chief ExecutiveOfficer at SuperSportInternational. Prior to that hewas Group Chief Marketingand Communications Officerat Barclays Africa. He is theformer Deputy Chairmanof Brand SA, sat on theCouncil of the University ofFort Hare, he is Chairman ofthe Eminent Persons Group(tasked with transformationin SA sport) and is Chairmanof NPI Governance Consulting.Former CEO and founderof the famed HerdBuoysAdvertising.Happy joined the Board inFebruary 2019.Happy is also a memberof the Audit Committee,Remuneration Committee andSocial and Ethics Committee.Mark is a frequent contributorin the South African media andwas most recently CEO of theSouth African Post Office, untilSeptember 2019.Mark joined the Board inOctober 2004.Charles joined the Board inJuly 2009.Charles is also a member ofthe Risk Committee.Mark is also a member of theRemuneration Committee andRisk Committee.16I N T E GRAT ED AN N UAL RE PORT 2 0 1 9PURPLE GROUP LIMITEDHe then spent four years in theTransaction Advisory Divisionof KPMG prior to joining PurpleGroup in November 2006.Gary was Head of CorporateFinance until April 2013 atwhich time he was appointedas the Group’s Chief Financialand Operations Officer.Gary joined the Board in April2013.Gary is also a member of theSocial and Ethics Committeeand Risk Committee.
ARNOLDF O R MA N– 55Independent non-executivedirectorArnold Forman is a charteredaccountant having completedarticles at Arthur Young, andhaving worked at PWC locallyand internationally.He is currently Chief ExecutiveOfficer of The Lubner Groupof Companies which portfolioincludes Real Estate, PropertyDevelopment, Retail, Sportingand Financial ServicesInterests. His 24 years ofexperience in strategy,operations, financial andmarketing aspects of thesebusinesses is valuable, broadand always seeking out ofthe box solutions to promotebusinesses.His latest business passion isthe landmark completion onThe Houghton Residential andHotel Development. From aCSI perspective, he was oneof the founders and until lastyear the financial director ofthe NPO Afrika Tikkun whichfocuses on the educationand career development ofunderprivileged townshipchildren and youth in SouthAfrica. Today this NPO has480 employees with morethan 11 000 beneficiaries.Arnold joined the Board inFebruary 2019.Arnold is also a memberof the Audit Committeeand Chairman of the RiskCommittee.CRAIG CARTE R– 59BONANGMOHALE– 57Independent non-executivedirectorNon-executive directorCraig has over 30 years’experience, predominantlyin technology and financialservices, including treasury,corporate finance, venturecapital, banking and mobilepayments. Craig joined PurpleGroup at its inception as COOand was most recently COO forWIZZIT International, and CEOof Luminous Banking.Craig joined the Board inFebruary 2005.Craig is also a member of theRisk Committee and Chairmanof the Audit Committee andRemuneration Committee.Bonang is Professor ofPractice in the JohannesburgBusiness School (JBS) Collegeof Business and Economics.He is a highly respected SouthAfrican businessman, whois known for his patriotismand his active role in seekingto advance the country’sinterests.Bonang was former ChiefExecutive Officer of BusinessLeadership South Africa(BLSA) till July 2019. Priorto joining BLSA, Mr Mohaleended a distinguished term asVice President Upstream andChairman of Shell South AfricaProprietary Limited at the endof June 2017.Bonang, who originally studiedto be a medical doctor,has had a distinguished careerat the helm and in leadershiproles of several major SouthAfrican and multinationalcompanies; including OtisElevators, South AfricanAirways, Sanlam Limited,and Drake & Scull IntegratedFacilities Management.He currently serves on theBoards of Swiss Re AfricaLimited, Bidvest GroupLimited, FirstRand Limited andNational Business Initiative(NBI).Mr Mohale has an impressivetrack record of buildingsuccessful companies,delivering results andmaking significant advancesin transformation in thecompanies he has beeninvolved in. Bonang joined theBoard in February 2019.Bonang is also Chairmanof the Social and EthicsCommittee.PURPLE GROUP LIMITEDI NTEG RATED ANNUAL REPO RT 201917
CORPORATE GOVERNANCEThe Group recognises thatthe shareholders own thebusiness and that the Boardis required to act in the bestinterests of the Company.The Board subscribesto the highest level ofprofessionalism and integrityin conducting its businessand in dealing with all itsstakeholders. In adheringto its code of ethics, theBoard will be guided by thefollowing broad principles: Businesses should operate and compete in accordance with the principles of freeenterprise;Free enterprise will be constrained by the observance of relevant legislation andgenerally accepted principles regarding ethical behaviour in business;Ethical behaviour is predicated on the concept of utmost good faith and characterisedby integrity, reliability and a commitment to avoid harm;Business activities will benefit all participants through a fair exchange of value orsatisfaction of needs; andEquivalent standards of ethical behaviour are expected from individuals andc
Investing made easy. Your turn. PURPLE GROUP LIMITED INTEGRATED ANNUAL REPORT 2019 1 3 Letter from the Board 3 Making our Mark 14 Our Leadership 16 Corporate Governance 18
