Question
1. Mr. Modi a foreigner, wishes to invest R10 000 000 (ten million Rand) in Formex Ltd, a South African company that is doing well
1. Mr. Modi a foreigner, wishes to invest R10 000 000 (ten million Rand) in Formex Ltd, a South African company that is doing well on the JSE. He is not interested in attending any meetings or voting on any decision-making that affect the company. However he foresees himself relocating to South Africa in the future and at that stage may then choose to engage in the company's activities. Currently all that he's interested in, is in getting a steady return on his capital investment. Taking into consideration that you are a commercial law student at DUT, answer the following questions with regards to the above scenario: 1.1 Advise Mr. Modi which class of shares would be most suitable to him.
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