Johannesburg – Investec plans to raise as much as 145 million pounds ($209 million) by selling equity to buy back preference shares it and other South African banks issued about a decade ago, mainly to fund transactions aimed at boosting black ownership of the economy.

The offer involves placing up to 30.87 million ordinary shares in the company in an accelerated book build being arranged by JPMorgan Chase & Company, Investec said in a statement on Thursday. Once the cash is raised, Investec expects to pay 5.70 pounds for the sterling preference shares and 100 rand for the rand preference shares plus amounts for unpaid dividends, it said.

“It is an appropriate time for us to make the tender offer for the preference shares,” CEO Stephen Koseff said on a conference call. The transaction, which takes place as preference shares get phased out as capital instruments over the next two years, will have a positive impact on the company’s core equity Tier 1 ratio, he said.