Industrial firm Barloworld said that it had re priced its 10% broad based black economic empowerment initiative owing to the rerating of the South African equities market as well as the Barloworld share price.

Mr Clive Thomson CEO of Barloworld said that "It is important for our BEE transaction to be sustainable into the future. Owing to the recent rerating of the South African equities market and Barloworld share price since our announcement on June 12th 2008, our board has recommended re pricing the Barloworld black ownership initiative."

The BBBEE initiative had originally been priced at ZAR 10,387 based on a 30 day volume weighted average share price of a Barloworld ordinary share, calculated for the 30 trading days ending June 6th 2008. It has now proposed that the price calculation date be amended to July 9th 2008, when the calculated 30 day volume weighted average share price of a Barloworld ordinary share was ZAR 8,331.

The revised economic cost of the transaction for shareholders has now been reduced to 2.8% of Barloworld's market capitalization, down from 3.2% previously.

The re pricing would ensure the sustainability of the black ownership initiative, as well as ensure that Barloworld's BEE credentials remained at the same level.