BEE can really complicate business...
The ugly spat between junior miner Simmer & Jack (Simmers) and its empowerment partner Vulisango has revealed fault lines beneath the empowerment structures of South Africa's mining sector.

At the heart of the dispute, which erupted two weeks ago, is Vulisango's claim that Simmers seeks nothing more than a docile BEE partner, unwilling to question management or act in the interests of the company or its shareholders.

Key to this claim is the dilution of Vulisango's empowerment stake from 26% to 22% as a result of shares issued to raise money that would allow the company to pursue growth and investment opportunities.

Simmers has denied this. It says the dispute relates to one shareholder attempting to further its interest over those of the remaining shareholders in Simmers, and Vulisango directors on the Simmers board sought to create empowerment conditions for Simmers that are more onerous than the requirements of the Mining Charter.
full story from M&G here
So much for the posturing - check out the rest of the story and see if you can figure out the real problem here.