I am sorry I simply don't get how this doesn't kill any incentive by foreigners to invest.
You buy a company (that has more than R35m($4.5 mil dollars or so I figure) in revenue and now you have to give
1) board seats
2) 25% of the company to someone? wtf
3) 50.1% of management? they want control without paying for it or what?
and employment equity? is it like profit sharing you have to give 40-70% of profits to employees in addition
to giving up share equity AND management control?
or do they get exemptions? like Walmart etc...
My guess is all of these wonderful companies like Walmart simply lean on our wonderful U.S. gov't to nudge SA to lay off and they are quasi-exempt. Perhaps I am wrong... there is "expropriation" insurance that is provided by opic.gov US overseas investment arm and it is most likely their biggest seller.
Without getting exemptions to that crap it seems absurd most likely outcome is there are large bribes to get AAA "compliance" or whatever it is that says you're ok. Its' all arbitrary anyway so they simply get suitcases of money and the file is 'stamped'...
Otherwise there is no point investing or buying a corporation to do capital investment or expand in SA if you have to comply with that as a big company.