Wesco Investments plans to sell its 25 percent stake in Toyota SA for R2.1-billion to Toyota Motor Corporation of Japan, it said on Monday.

The stake in Toyota SA, South Africa's top vehicle maker in terms of sales, is Wesco's primary investment and source of income.

"Given the passive nature of the investment in TSA and the current turbulence in world markets, the board considered it to be in the best interests of the company and its shareholders to accept the offer made to it by TMC," the group said.

The proceeds of the sale will be distributed to shareholders by way of dividend in due course, the company said.

The deal is subject a number of conditions that include the approval of Wesco's shareholders.

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