Shareholders in construction group Murray & Roberts (MUR) have voted in favour of the company proceeding with the implementation of its broad-based black economic empowerment transaction.

At both the general meeting of shareholders and the scheme meeting convened by an Order of the High Court of SA, shareholders voted in favour of the transaction to buy back 10% of the issued share capital - some 33.2 million shares - from shareholders for a total consideration of almost 500 million rand.

The Chairman of the Scheme Meeting will report back to the High Court on 29 November and the transaction will become effective on 19 December.

Commenting on the transaction, Group Chief Executive Brian Bruce said: "We are pleased that shareholders have supported our empowerment strategy. This is as important a milestone for our company and its people, as any we have crossed in our long history spanning more than 100 years in SA."

"We have utilised the capacity of our strong balance sheet efficiently so as to create a new experience of ownership and participation for the majority of our people," he added.

Following the transaction, approximately 14,000 qualifying employees in the South African operations of Murray & Roberts will receive a grant of 300 shares each valued at almost 6,000 rand at current market pricing. The remaining shares will be utilised to establish an employee benefit trust, a black executive share trust and a broad-based community trust.

Bruce said the Group has commissioned a comprehensive communication program to engage all its employees and middle management on the substance and effect of the transaction.

"It is our wish that employees retain their shares after the five-year moratorium. We are facing the potential of sustainable real growth in our industry for the first time in almost three decades."

"We therefore see these shares as an investment in the South African construction industry rather than in Murray & Roberts alone," he concluded.