- Imara Holdings Ltd (www.imaraholdings.com), an investment banking and asset management group with operations in 10 countries mostly in southern Africa, aims to expand in Zimbabwe, according to a report on www.africancapitalmarketsnews.com, citing Zimbabwe’s Herald newspaper. It is currently listed on the Venture Capital Market board of the Botswana Stock Exchange (www.bse.co.bw) and the Herald reports that it wants to buy the rest of the shares in Zimbabwe’s Imara Capital Zimbabwe (Pvt.) Ltd (www.imaracapital.com), which it owns 32%, and also to dual list on the Zimbabwe Stock Exchange (www.zse.co.zw).
The report says that Imara Holdings has proposed a share deal in which loca…
- The Aureos Africa Fund is busy with its mission – it says it is the largest fund ever to focus on investing in small to mid-sized businesses across Africa. The website www.africancapitalmarketsnews.com reports that earlier this month it announced that it had closed its fund-raising after gathering US$381.1 million. The fund has already invested approximately $120 mln in 10 companies operating in a variety of sectors and regions.
It is managed by Aureos Capital (www.aureos.com), which specializes in investing in mid-sized businesses across the emerging markets and says that it was supported by a broad range of institutional investors attracting institutions from the US and Europe as …
- Telecoms have attracted some of Africa’s biggest and most lucrative equity deals and the 14 Feb sale of $10.7 billion of telecom assets further indicates the rising power from the East, this time India.
On Sunday the Kuwait News Agency (www.kuna.net.kw) reported that the board of directors of Kuwait's Zain Group (formerly MTC or Mobile Telecommunications Co. – www.zain.com) unanimously approved the sale of the group's assets in Africa (except operations in Sudan and Morocco) to India’s Bharti Airtel.
The Kuwait Stock Exchange (www.kuwaitse.com) earlier on Sunday announced the suspension of Zain stocks until the group decides on sale of its affiliate in Africa. Shares i…
- International stockbroker Exotix (www.exotix.co.uk) is bullish on African equities and on growth prospects, reports the website www.africancapitalmarketsnews.com
According to the latest report “Top 30 Companies: sub-Saharan Africa excluding South Africa”, many share prices still have to catch up with the improved fundamentals and Africa has lagged the recovery in the stock markets of Brazil, Russia, India and China.
Analyst Christopher Hartland-Peel writes: “We expect 2010 to be a strong year for sub-Saharan African markets and we think the improving fundamentals that we have seen in the region were not reflected in stock prices during 2009. Many investors believe that…
- The Zimbabwe Stock Exchange is seeking to reinforce International Financial Reporting Standards again on its listed companies, according to the blog, www.africancapitalmarketsnews.com Many had stopped using the standards in runaway inflation (which reportedly peaked at over 231 million percent), but the introduction of US dollar-based figures and transactions allows them to reintroduce it.
South Africa’s W. Consulting (www.wconsulting.co.za), in partnership with the Institute of Chartered Accountants of Zimbabwe (www.icaz.org.zw) recently held a workshop with local firms on IFRS. W. Consulting is an independent technical accounting & professional skills training and advisory busine…
- Agricultural private equity fund Agri-Vie (www.agrivie.com) will reach its target of raising $100 million for investment in agricultural projects by February or March, according to an interview with Reuters newsagency on 14 January. A report on www.africancapitalmarketsnews.com reports the fund as stating there is plenty of potential and plans a second fund of up to $300 million.
Earlier in January the fund, launched in March 2008, made two investments totalling $10 mln in 2 agricultural projects in Ethiopia and across the region, and it is close to finalizing a $4 mln investment inTanzania.
Izak Strauss, executive director and chief investment officer, told Reuters they are also consid…
- The fast-growing Ethiopian Commodity Exchange (www.ecx.com.et) on 31 December sold 150 full membership seats for a total of Birr 34 million (US$2.7 million), reports website www.africancapitalmarketsnews.com The new members include 69 suppliers, 45 exporters, 24 local traders and 12 cooperatives and commercial farmers, according to Ethiopia’s Fortune newspaper (www.addisfortune.com).
Coffee exporter Muluneh Kaka made the highest bid, offering Birr 3.3 million for a seat.
A full membership seat gives individuals, companies, public enterprises, cooperative unions and commercial farmers the right to transact any commodity through the exchange. The membership seat is permanent and tran…
- South Africa’s Nedbank (www.nedbank.co.za) has announced an agreement with international non-governmental organisation Wildlife Works Incorporated (www.wildlifeworks.com) to launch an African carbon credit scheme, according to a report on website . www.africancapitalmarketsnews.com
Nedbank is to acquire carbon credits which stem from Wildlife Works' efforts sustainably to prevent the deforestation of the Kasigau Corridor. The project will monetize the biodiversity assets of a 200,000 hectares dryland forest and savannah grassland strip called Kasigau Wildlife Corridor until 2026. It was awarded gold-level approval under the Climate Community and Biodiversity Alliance’s forest…
- An initial public offering (IPO) for Uganda’s National Insurance Corporation (NIC www.nic.co.ug) will be launched on 14 January and close on 5 February, according to a report on www.africancapitalmarketsnews.com
Mr Hassan Mohammed, outgoing joint managing director of Dyer and Blair Investment Bank (www.dyerandblair.com), was reported as saying the listing on the Uganda Securities Exchange (www.use.or.ug) will be on 25 March, after a share allotment on 9 March. Mr Japheth Kato, executive director of Uganda’s Capital Markets Authority, is said to have been satisfied with the preparations, including the prospectus.
It will be another step forward for the USE which has dynamic ma…
- A Global Index Insurance Facility has been launched as an insurance scheme to help compensate for certain catastrophic events, depending on their severity, reports www.africancapitalmarketsnews.com. For example, insurance will be paid out in the event of a wind storm of a certain category, drought defined as rainfall below a certain agreed figure, or an earthquake registering a certain magnitude on the Richter scale.
Index-linked insurance products eliminate the need for insurance companies to individually verify claims, reducing transaction costs and making it easier for them to offer products and services in rural communities and in frontier regions, where insurance is rarely availa…
The Nigerian Stock Exchange served notice that it needs some N5 billion (US$33 million) in capital for its fifth software upgrade and to help finance the Sierra Leone Stock Exchange. Donors helped Ghana, Kenya, Tanzania and Uganda to upgrade theirs but believe Nigeria is too rich for funding. - NSE Director General Ndi Okereke-Onyiuke reportedly told local media that the exchange's software has been upgraded four times, with the next in 2010, at a likely cost of 16 mln-20 million euros ($24 mln-$30 mln). She added that the London Stock Exchange had reportedly spent 30 mln euros on its software, and talks continue on how the LSE could help in Nigeria.
The Sierra Leone stock exchange was la…
Kenya launched its first bond through an Automated Trading System (ATS) on the Nairobi Stock Exchange when the KenGen listed its US$336 million (KSh25 billion) bond this week. According to local media the firm offered its investors the choice to trade on the ATS or trade on the traditional market with paper holdings. - 91% opted to have bond certificates immobilized in CDS accounts, according to the africancapitalmarketsnews.com. The ATS links to the central depositories of the Central Bank of Kenya (CBK) and the Central Depository and Settlement Corporation (CDSC). It offers T+3 settlement (payment and transfer of ownership on the third day after trading), compared to T+7 on the manual mark…
Nigeria's Securities and Exchange Commission is to call stockbrokers and other market participants before its Administrative Proceedings Committee next Monday, according to a report on Africancapitalmarketsnews.com. - The hearings are part of joint investigations into the financial sector. Already, chief executives and top management of eight banks have been fired for recklessness and lack of governance, and a Naira 620 billion (US$4.1 bln) bailout programme.
The SEC is to “invite some capital market operators to its APC hearing, to explain their roles in unwholesome practices in the market,” according to SEC’s Head of Media, Lanre Oloyi. “At the end of the hearing…
Leading emerging markets investor Actis projects that Africa will have a large role in the US$750 million Actis Infrastructure 2 fund. The pan-emerging markets fund focuses on power generation and transport. - “We are assessing investment opportunities across the continent and we will be looking to invest a significant proportion of our fund in Africa”, stated Paul Fletcher, Senior Partner at Actis in an email to the blog Africancapitalmarketsnews.com.
He added: “The need to build infrastructure in emerging markets is one of the great investment themes of our time - power, roads, ports, airports and bridges – these are the means through which these countries will …
The International Finance Corporation is investing $100 million into bringing the benefits of better telecommunications to many Nigerians via Helios Towers Nigeria Ltd. - HTN builds and maintains a network of telecommunications towers and leases space to providers of wireless telecommunications services, africancapitalmarketsnews.com reported.
The IFC is leading a $250 mln capital injection that will help Helios Towers increase its network to 2,000 sites nationwide. On 21 August, the IFC disbursed $50 mln in mezzanine financing and on 30 September it signed an agreement to lend another $50 mln in senior debt. IFC is arranging a further $150 million in senior debt from other commercial and…
- South Africa’s securities exchange, the JSE Ltd (www.jse.co.za), is offering trading in gold, platinum and sweet crude oil futures contracts on its commodities derivatives market, according to a report on www.africancapitalmarketsnews.com Previously, only agricultural commodities were traded.
The JSE recently signed an agreement with the world’s largest derivatives marketplace, CME Group (www.cmegroup.com). This builds on the heritage of the Chicago Board of Trade, Chicago Mercantile Exchange and Nymex (www.nymex.com) and offers the world’s biggest platform to hedge risks, with trading floors in New York and Chicago and the CME GLOBEX electronic trading platform.
The lo…
- A bill to regulate the capital markets and collective investment schemes was tabled in the Rwandan Parliament last week. According to New Times newspaper and blog www.africancapitalmarketsnews.com, Trade and Commerce Minister Monique Nsanzabaganwa introduced the bill on 7 October.
She said a law is necessary before local companies begin full scale trading on the Rwanda securities exchange. Only companies that have embraced minimum corporate governance standards shall be allowed to be listed for trading and the law would create more investor confidence.
Rwanda currently operates as an Over-The-Counter (unregulated) market and the only share listed for trading is Kenya Commercial Bank shar…
- Absa Capital (www.absacapital.com), the investment banking arm of Absa Group, plans to work in a range of African debt markets, particularly in countries where its parent, Barclays, is active. Standard Bank has so far been the leader into Africa, reports www.africancapitalmarketsnews.com The new Chief Executive, Stephen van Coller, who took over from John Vitalo from 1 October, was reported as having told Reuters the group would hope to increase revenues by up to 50%-60% over the next 3 years through more African business.
Van Coller is reported as saying: "We've seen debt capital markets starting to open up in Botswana, Kenya, Tanzania and Nigeria. There's actually been quite a lot of i…
- Bond issues are cropping up across Africa, and investor interest could be keen for selected issues, as seen by the US$1.5 billion orderbook for the African Development Bank global bond. Website www.africancapitalmarketsnews.com reports that new bond issues are springing including Kenya’s Kengen issue for more power generation which closed on 29 September, and bank issues in Nigeria and Uganda.
The Preferential Trade Area Bank, according to its website www.ptabank.org, has issued a Uganda Shs 40 billion bond (US$21 million) to be listed on the Uganda Securities Exchange www.use.or.ug), after approval from the exchange and the Capital Markets Authority. The offer was to close on 2 Oct…
The African Development Bank at the close of September reported orders for over US$1.5 billion for its recent $1 bln benchmark global bond issue in the international market. - According to the africancapitalmarketnews.com website, AfDB’s 3-year bond, lead-managed by Credit Suisse, Deutsche Bank, Goldman Sachs and Morgan Stanley, was priced at “mid swap flat” and carries a coupon of 1.75%.
“This transaction is a testimony of the confidence capital markets have towards the African Development Bank," said AfDB Treasurer, Pierre Van Peteghem. "It is the fifth transaction by the Bank in 2009 and the third $1 bln global benchmark market completed in 2009."
Investor p…
- The brightest and best of Africa’s capital markets were highlighted in New York on 21 September at an awards dinner, reports the website, www.africancapitalmarketsnews.com.
The Johannesburg Stock Exchange (www.jse.co.za) received the award for Most Innovative African Stock Exchange, with a particular mention of their innovative Africa Board initiative. Best Performing Ai40 Company went to Maroc Telecom (www.iam.ma) while Co-operative Bank of Kenya (www.co-opbank.co.ke) led the way winning Best African IPO. The Capital Market Authority of Egypt (www.cma.gov.eg) took gold, winning the Most Innovative Capital Markets Regulator and Standard Bank Group (www.standardbank.co.za) took both …
- Emerging Capital Partners (ECP) announced on 22 September it has committed $25 million to Wananchi Group Holdings (www.wananchi.com), a leading East African media and telecommunications company specializing in pay television and high-speed Internet services in Kenya and Tanzania, according to www.africancapitalmarketsnews.com.
ECP is an international private equity firm focused on investing across Africa and this is its 10th investment in African telecoms. It still has stakes in Zain Gabon, MTN Cote d'Ivoire and Cellcom (GSM operator in Liberia and Guinea).
The equity investment will help upgrade and expand Wananchi’s existing network infrastructure to provide East Africa's firs…
- The African Development Bank Group (www.afdb.org) is urging the G-20 Summit to increase its resources, according to www.africancapitalmarketsnews.com. The bank says Africa and low income countries should not be left behind if the world economy shows signs of recovery.
Meanwhile the IFR Markets news service, quoted on Reuters newsagency, says AfDB, rated AAA by leading ratings agencies, plans a $1 billion 3-year global bond issue.
The “G-20” is a meeting of finance ministers and central bank governors from 19 developed countries, plus the European Union (EU), plus World Bank, International Monetary Fund and others. They are meeting in Pittsburgh, USA from 24-25 September. Acc…
- Private equity and venture capital opportunities in Africa, billed “the world’s fastest-growing continent”, are on the agenda of the African Venture Capital Association (AVCA) 8th Annual Conference (http://www.avcaegypt2009.com). According to www.africancapitalmarketsnews.com, the top industry meeting will be held in Cairo Marriott Hotel on 15th-17th November, 2009 with the theme “Africa: The Growth Continent for Private Equity. Investment Opportunities 2010 and Beyond”.
AVCA (http://www.avcanet.com) is a non-profit organization founded to develop private equity and venture capital in Africa. Its Chairman, Rotimi Oyekanmi, says the theme highlights “…
- Some US$8 billion was invested in developing Information and Communications Technology (ICT) in Africa in 2008, reports www.africancapitalmarketsnews.com According to Nigeria’s Daily Independent newspaper (www.independentngonline.com) the Secretary-General of the International Telecommunications Union (ITU), Hamadoun Toure, announced this at a recent African Telecom Development Summit 2009, held in Abuja, Nigeria, praising the advances of the last 10 years.
The report quotes Toure: ''It has been an extraordinary decade for Africa and it gives me great personal pleasure to see how the continent has taken huge steps forward in bringing connectivity to African people. Just ten years …
