Star 2024-12-13

Amsa has also called for improved customs duty and VAT recovery ArcelorMittal South Africa (Amsa), the largest steel producer in Africa, has once again disagreed with calls to remove trade protectionism measures in the steel industry to boost economic growth, arguing that import duties were vital to protect the local sector. This comes after Donald MacKay, founder and CEO of XA Global Trade Advisors, said last month that the current policy of imposing tariffs to protect the local sector was outdated and negatively affected economic activity. On Tuesday, MacKay said the government’s protectionism measures in the scrap metal industry were costing the economy some R8.5 billion a year without any tangible benefits in terms of job creation. In response to this, Amsa group manager for stakeholder management and communications, Tami…

The Bidvest Group said yesterday it has entered into an agreement to sell 100% of its Bidvest Bank Holdings to Nigeria headquartered international banking group, Access Bank, for about R2.8 billion. The announcement, also of the sale of its FinGlobal business to Momentum Group and consideration of offers for the Bidvest Life company, follows Bidvest’s announcement in July that it would restructure and sell its financial businesses, even though these were performing well. Bidvest intends to continue growing in its niche services of hygiene, facilities management, and distribution of plumbing and related products. “Bidvest will continue to support Bidvest Bank to ensure that it remains financially sound and operationally stable throughout the disposal process,” Mpumi Madisa, CEO of the South African services, trading, and distribution group, said yesterday in a…

The Government Employees Pension Fund (GEPF) has appointed former trade unionist Frans Baleni as a trustee and new chairperson of the Board of Trustees, after the resignation of former chairperson Dondo Mogajane last month. Baleni is a former general secretary of the National Union of Mineworkers and serves as a director on a number of boards. The GEPF, the largest pension fund in Africa with more than R2.3 trillion in assets under its management with around 1.2 million active members and about 500 000 pensioners and beneficiaries, said Baleni was appointed chairperson at Wednesday’s board sitting . “The GEPF Board of Trustees expresses its confidence in the leadership of Mr Frans Baleni and believes that Mr Baleni’s strategic vision and vast experience will be instrumental in guiding the Fund towards…

AutoZone, the beleaguered motor part retailer which went into business rescue in the middle of the year, has been bought out by Nikisize, an indirect subsidiary of automotive component and energy storage group Metair, with the deal being approved by the Competition Tribunal yesterday. In a statement yesterday, the Tribunal said that the approval was subject to public interest and competition related conditions. The deal is worth some R290 million and would provide Metair with a distribution channel to grow its current automotive aftermarket businesses in South Africa. Metair’s stock closed 2.8% higher to R11.10 per share though it is down 32.5% over the course of the past year. AutoZone submitted its business rescue plan in September, which proposed several structural changes, including closing nine branches that were deemed to…

Mazda South Africa, importer of the well-known global brand, has held onto its market share this year in spite of a volatile vehicle market that was characterised by falling sales for most of the period and a big number of new competitors. MD of the local business, Craig Roberts, this week said in an interview that it was important to understand why this stabilisation of market share, even though it does not yet indicate growth, was so important for the future of the company in this country. In 2019, the Japan-based parent company moved its strategy to become a global exporter of larger, more premium-priced vehicle models, a strategy that proved successful in most major markets where the group operates, such as the US, Canada, some South American countries, Europe,…

South Africa’s telecoms sector has been going downhill since 2022, especially for the mobile operators, a time at which it peaked, according to an analyst. Peter Takaendesa, portfolio manager and head of equity at Mergence Investment Managers, told Business Report this week that apart from Telkom’s bright star, MTN and Vodacom have been “plagued by increased competition and a weaker consumer have put pressure on revenue while stubborn operating costs have continued to put pressure on profitability”. Over the past five years, the listed telecoms index has declined almost 5% while the JSE’s All Share Index has gained 55.9% over the same period. Takaendesa said load shedding and a weaker rand were largely to blame for the operating cost pressure for most of the period between 2022 and now. “While…