Cape Times 2024-02-29

First-of-its-kind public-private partnership announced to improve rail transport reliability in SA SASOL has thrown Transnet Freight Rail (TFR) a five-year lifeline to ensure the survival of the freight rail sector in moving bulk chemicals to a number of companies within the mining, agricultural and manufacturing industries. The petrochemical giant and TFR yesterday announced a first-of-its-kind public-private partnership to improve rail transport reliability in South Africa. Under the five-year agreement, Transnet will deliver ammonia from Sasol’s Secunda and Sasolburg facilities to the company’s customers through a dedicated fleet of 128 ammonia tankers. Sasol Chemicals produces and sells more than 540 000 tons of ammonia annually. Ammonia is mainly used to make a variety of fertilisers and industrial chemicals for the agriculture, mining, textile and metalworking industries. In return, Sasol will…

IN THE PAST six months the International Trade Administration Commission (Itac) has initiated the lowest number of tariff investigations brought by the private sector in 21 years, which has a dire economic impact, according to XA International Trade Advisors. In its fourth import duty investigation report launched yesterday, XA warned that the delays by the Itac and the government in completing import tariff investigations hurt the economy. Tariffs are an important policy instrument as they protect local companies from being negatively affected by cheap imports of the goods they manufacture while also raising funds for the national fiscus. In 2013, Itac revised the timelines to complete investigations on import tariff applications from 12 months to nine months for trade remedies, and from 12 to six months for normal tariff investigations…

Transnet acting CEO Michelle Phillips has been appointed as the CEO of the ailing State-owned logistics group Transnet, while Nosipho Maphumulo has been appointed as group chief financial officer (CFO), the Department of Public Enterprise said yesterday. These two executives will have their hands full in helping lead the turnaround of the ailing parastatal, with its major rail and port challenges that have paralysed the logistics of South Africa, losing the fiscus billions of rand. Phillips is the longest-serving executive who remained at Transnet following a number of high-profile resignations. She has held a number of crucial posts at the logistics utility that has committed to a restructuring that includes allowing third-party interests to operate some of its facilities. Minister of Public Enterprises Pravin Gordhan said yesterday in a statement…

THE TAKEOVER Regulation Panel (TRP) has ruled that Vivendi’s Canal Plus (Canal+) acquisition of shares to a 35.01% stake in MultiChoice has triggered an immediate mandatory offer by the French media group. Writing on X , TechCabal (@TechCabal), a pan-African publication on tech developments on the continent, said that with MultiChoice’s board having initially rejected the Canal+ offer, the TRP’s ruling meant Canal+ could make a tender offer directly to shareholders. On February 5, MultiChoice was notified by the French media company that it had acquired an additional interest in MultiChoice, so that it controlled 35.01% of the local pay-TV’s shares, from 31.67% previously. Canal+, the biggest shareholder in MultiChoice, had offered to buy the rest of MultiChoice shares that it did not already own at an offer price of…

CASHBUILD, a southern African building materials retailer with 321 stores maintained market share in the difficult cash-paying consumer market and lifted turnover 2% to R5.8 billion in the six months to December 24. Industry data during the period for general retail sales of hardware, paint and glass products sales had fallen 6%, while peer Build It’s turnover was up 0.5%, and Italtile’s sales fell 2%, said Cashbuild operations director Shane Thoresson in a telephone interview. He said that while the interim results were not that great from a financial perspective, the balance sheet remained strong and the group did well considering the macroeconomic challenges. The half-year dividend was 19% lower at 325 cents per share. Revenue for the 312 stores opened prior to July 2022, grew by 1%.…

AECI, THE CHEMICALS and explosives group in transition, lowered its final dividend 79% to 119 cents in the year to December 31, but its core mining division saw record results, and group debt reduction targets were met. Revenue increased 5.4% to R37.5 billion. Ebit (earnings before interest and tax) reached R2.57bn, up 25.6% over the prior year. Headline earnings per share fell 11.7% to 1 137 cents. Gearing fell to 35% from 45%. On ESG goals, scope 1 and 2 emis- sions, water consumption and water discharge elements decreased. The board and executive committee female representation exceeded the 40% target. “Aligned with our strategy of fortifying a resilient balance sheet, net gearing significantly improved to 35%, down from 45%, and firmly within our guidance range of 20%…