Table of contents for 2024-08-08 in Cape Times

Although it took an impairment knock of $611 million (R11 billion) from its South African coal mining operations in the first half of this year, Glencore has so far invested $175m in the Cape Town oil refinery and related projects after acquiring Astron Energy. Glencore made commitments to invest up to R6bn or $329m with the Competition Tribunal and the South African Economic Development Department, when its 75% acquisition of Astron Energy was given the go-ahead in 2019. Yesterday, Glencore confirmed that Astron Energy “has made several investments amounting to R3.2bn or $175m in qualifying expenditure, related to the Cape Town oil refinery as at September 30, 2023. The refinery was rocked by an explosion in 2020 but Glencore has said in the past few months that it was…

MTN, Africa’s largest cellular operator, said yesterday that it would report a headline loss per share of between 271c and 217c, while the basic loss per share would be between 434c and 383c for the half year to June. The JSE-listed mobile operator said while it had encouraging results from both Ghana and Uganda – with South Africa set to show encouraging progress in key areas – the company’s results were adversely affected by several factors, not least of these being further devaluation in the naira against the dollar, which impacted MTN Nigeria’s financials. MTN did note that Nigeria posted a strong underlying operational performance in its first half. The naira devaluation will affect MTN’s results by 90c a share, up from the 4c it reported in the prior comparative…

Zimbabwean businesses adjudged to be manipulating the new ZiG currency face new stiffer penalties while they are also now mandated to open bank accounts and to use point-of-sale machines as the government clamps down on resurfacing parallel market exchange rates. Roiled by hyperinflation in previous years, Zimbabwe this year introduced the Zimbabwe ZiG currency which it says is backed by foreign currency and gold reserves held with the central bank. While the ZiG has maintained pricing stability since its introduction in April, parallel market exchange rates have started to resurface. The government of President Emerson Mnangagwa says this is frustrating efforts to dedollarise in a nation where up to 80% of all transactions are US dollar-based. “Penalties are being enforced against all perpetrators of unjust price hikes, manipulation of the…

Growing up in a rural village and watching her parents toil to make ends meet for the family was one of the reasons that inspired Maggie Mojapelo to become a success. Mojapelo is the founder of her management consultancy, The Human Touch. The 60-year-old told Business Report that she grew up in a home that had no running water or electricity and began her journey into the world of entrepreneurship at the tender age of 10. She said her mother juggled three demanding jobs as she raised seven children. Mojapelo was inspired and that was when she started selling tomatoes. Mojapelo said: “It started with my father. He was a man who struggled every day of his life but refused to let hardship stop him from being a provider…

British multinational wealth management company Quilter’s core net inflows increased 164% to £1.7 billion (R39.6bn) for the six months to June 30, reflecting a good performance from its Quilter channel in both high net worth and affluent segments, and much improved independent financial adviser (IFA) channel flows onto the Quilter Platform. The share price gained a strong 4.24% to R30.97 on the JSE yesterday afternoon. Assets under management and administration (AuMA) of £113.8bn increased by 7% on December 31, 2023, driven by net inflows of £1.5bn and positive market movements of £5.6bn. The 1.7 pence per share interim dividend was equal to one third of last year’s total dividend, and was also 13.3% higher than the first-half dividend of last year. Adjusted diluted earnings a share increased 21% to 5.2…

Global commodities trader Glencore has retained its money-spinning coal business as well as the carbon steel-making operations despite growing pressure from environmentalists to demerge the two units. Coal has been a major income earner for Glencore, with energy and steel-making coal accounting for $2.7 billion (R49.6bn) of the company’s total earnings before interest, tax, depreciation and amortisation (Ebitda) of $6.3bn for the half-year period to June, 2024. Bruce Williamson, a resource analyst at Integral Asset Management, told Business Report “coal is the biggest contributor” to Glencore’s earnings. However, low prices have been impacting the company’s earnings, with Glencore’s coal operations recording a $2.7bn lower contribution to its industrial category adjusted Ebitda of $4.5bn, which was 39% softer in the half year to June compared to the previous year. The earnings…

The safety of Mitchells Plain residents was paramount in the decision to deny drug kingpin Fadwaan “Vet” Murphy’s bail application at the Western Cape High Court this week. Murphy, currently serving 18 years imprisonment for drug dealing and money laundering, applied for bail pending the outcome of his appeal against his conviction and sentencing. His appeal against conviction and sentencing was granted at the Supreme Court of Appeal earlier this year and, on account of this, Murphy relied heavily on the fact that he had been granted leave to appeal on petition, which he asserted was indicative of the fact that he has prospects of success on appeal. Murphy further averred that if he were to be granted bail, there was “no likelihood of his endangering the safety of…

LOOKING back at South Africa’s last five Test series – against England, Australia, West Indies, India and New Zealand – the weak link in the team has undoubtedly been the batting department. In this two-year period, the Proteas have scored only one 400-plus total in 12 matches and 20 innings. Given that established Test batters including Hashim Amla, Faf du Plessis, Quinton de Kock and Dean Elgar have retired in the past five years, one could say the Test team is in a rebuilding phase, hence the struggles in putting together the big scores associated with a Proteas Test batting line-up. Furthermore, many batters have made their debuts, struggled and got dropped from the Test side, including Rassie van der Dussen, Keegan Petersen and Khaya Zondo, adding to the instability…

It was a difficult night for Wayde van Niekerk and Shaun Maswanganyi on the track, but Jo-Ané van Dyk will hope to follow in South African javelin legend Sunette Viljoen-Louw’s footsteps after qualifying for the Olympic final to be held on Saturday in Paris. Viljoen-Louw won the silver medal at Rio de Janeiro in 2016, and still holds the African record of 69.35m. Van Dyk, who is the current African champion, was in imperious form yesterday when she launched the javelin into the Parisian sky for a career-best 64.22m to automatically qualify for the final. The 26-year-old’s effort topped Group A and was the fourth-best overall on the day. She was visibly excited by her effort as she gave off a shriek of delight and two thumbs-up to the cameras…

The board of IT service management company Altron yesterday announced the passing of its non-executive director, Robbie Venter, on Tuesday at the age of 64. The board described Venter as a remarkable individual, steadfast in his commitment, generously sharing his wisdom and experience as a member of the Altron board. “His contributions to Altron since 1997 were invaluable, and his presence will be greatly missed. His outstanding contributions and leadership have made a lasting impact on the technology industry, and business at large,” it said. Venter joined the Altron board on May 15, 1997. He was a member of its nomination committee; a member of its remuneration committee, the social, ethics and sustainability committee, and the investment committee. He had extensive experience in senior management positions of which 27 years…

CIVIL society in the alternative reform agenda of the Just Energy Transition yesterday called on South Africa to join the G77 Group of countries in calling for the COP 29 Summit in September to push demands for a $5 trillion (R92trl) annual downpayment for climate debt owed by the Global North to the Global South. The Group of 77 totals 134 countries with members including Afghanistan, Algeria, Argentina, Benin, Bolivia, Brazil, Chile, Colombia, the Democratic Republic of Congo, the Dominican Republic, Jamaica, Jordan, Kenya, Peru, Trinidad and Tobago, and China. At a webinar co-hosted by the Institute for African Alternatives, participants said there was a need to call for climate damages. “The demand provides a realistic attainable figure in addressing the urgent escalating climate needs. We know it’s doable and…

A family-owned farm about 3km from Malelane in Mpumalanga now faces an energy secure future thanks to the owners’ decision to keep production on track and reduce escalating energy costs, resulting in a sizeable solar-powered solution. Renald Radley, who co-manages the farm with his brothers Wilscott and Henno, said load shedding was the primary reason they had decided to go solar with the estate’s 1 900 hectares of land. “Load shedding was a significant obstacle that created uncertainty and disrupted our daily farming activities. Traditional power sources and outages impacted our ability to irrigate crops, power essential equipment, and maintain productivity,” Radley said. The farm, which has been in the family for about 80 years, produces a variety of farming operations, including 157 hectares of citrus orchards; 536 hectares…

EVERY great entrepreneur is a great competitor! In both the arenas of Olympic sports and the business world, the quest for perfection is a common thread. Every great entrepreneur, much like an Olympic athlete, is a fierce competitor. The entrepreneur comes up with an idea, tests the idea, refines it and then commercialises it, aiming to be the best in what they do. The core aim of every entrepreneur is to service its customers by providing a perfect product or service, then generate revenue from doing this and grow the business to greater heights. Entrepreneurs are perfectionists, waking up every day and thinking how they can improve, outsmart their competitors and have more clients desire their product, more than any other. I skipped work last week for dental surgery, which…

Discovery Group plans to create a single global composite, with the same strategy, product and technology, which it will simply name Vitality, outside of its existing South Africa composite. The group has traditionally been made up of three business composites: Discovery South Africa; Vitality UK (VUK); and Vitality Global (VG). “The group’s evolution provides the opportunity today to create one global composite, Vitality, comprising VUK and VG, alongside Discovery South Africa,” the group said yesterday. The share price gained 2.54% to R139.50 in the afternoon, at a time when the JSE All-Share Index was up only 1.1%, signalling that shareholders appeared favourably disposed to the move. The group results for the six months to December 31 showed that in terms of operating profit, the UK composite increased its contribution 13%…

AIRPORTS Company South Africa (Acsa) has confirmed its action against banking group Nedbank awaits the president’s signing of a proclamation for the Special Investigating Unit (SIU). Acsa said it was in the process of determining the exact quantum of losses in financial and other terms that it would require as a refund from Nedbank. The Zondo Commission recommended in 2022 that the law enforcement agencies should investigate Nedbank for its alleged role in a corrupt deal involving interest rate swop transactions it concluded with Acsa between 2009 and 2011, which involved the Gupta-linked Regiments Capital. The wheels of justice turn slowly, but last week Transnet and the SIU finally announced they intended to sue Nedbank in a bid to recover R2.7 billion in interest rate swops dating back to the…

Springbok prop Ox Nche says that despite World Rugby’s alleged move to ‘depower’ the set scrums, the South Africans can still have their cake and eat it when they play the Wallabies in Brisbane on Saturday (6.30am start, SA time). Since the last World Cup, the governing body has announced law tweaks that conspiracy-minded South Africans believe are part of a move to negate the Boks’ great strength at scrum time. Nche was part of the famed Bomb Squad that powered over the opposition in the last quarter of the World Cup games. The chocolate gateaux-munching prop earned fame with a T-shirt branded “Salads don’t win scrums”, but he says he has had to get fitter because of the new rule that scrums have to be set within 30 seconds.…

Olympic 200m champion Gabby Thomas wanted to walk away from athletics on several occasions, she said after her dominant victory in Paris on Tuesday night. The 27-year-old American, who captured bronze at the 2020 Tokyo Games and silver at last year’s world championships, secured her first global title after beating 100m champion Julien Alfred and compatriot Brittany Brown to win gold. “Running track in college, there were many times where I thought I would quit,” Thomas told reporters. “When I went pro, growing pains of joining a professional training group are real – there are a lot of egos ... I didn’t think that I was going to be cut out for it. “I told my agents ‘I’m out and I’m done’. I wrote an email, I said ‘I’m done…

Bafana Bafana striker Khanyisa Mayo, who recently scored a move to Algerian side CR Belouizdad, has opened up about his decision to snub local interest for a surprise move to north Africa. Mayo, 25, has been one of the most sought after players in the Premier Soccer League for the past two seasons, with names like Kaizer Chiefs and Mamelodi Sundowns linked with him. However, he has elected to follow in the footsteps of Percy Tau, Phakamani Mahlambi, Fagrie Lakay and most recently Elias Mokwana (who has joined Esperance) by electing to spread his wings further in north Africa. The SuperSport United academy graduate has racked up 35 goal involvements in 93 appearances for Cape Town City, and attracted the attention of numerous clubs – but the reported R20 million…

Impala Platinum (Implats) expects to report a loss at the basic earnings-level of between R16.9 billion and R17.8bn in its full-year results due to significant impairments totalling R19.8bn – most of which is the result of write-downs because of lower platinum group metals (PGM) rand pricing, it said yesterday. This comes despite increasing production in the year to June 2024. Electricity issues affected its operations in Zimbabwe, and lower prices were achieved for each PGM ounce, with sharply lower average palladium and rhodium pricing. In dollar terms, it achieved 34% less revenue per ounce sold. Implats said it “navigated several serious challenges and a constrained operating environment to deliver guided production volumes. While its local operations benefited from “a notable reduction in the frequency and intensity of load curtailment in…

Everybody wants it. But it’s hard to find, and even harder to keep. While female representation has improved generally across the financial services sector, most board, CEO and C-suite roles remain male-dominated. Whether it is to achieve black economic empowerment targets, driven by a moral imperative or rooted in the fact that diversity is good for business performance, the doors to the industry are certainly open to women. So, why is it so hard to get women into leadership positions? The answer to this vexing question lies in the convergence of various factors. Those financial services companies trying hard to attract, develop and retain female talent must synthesise a sustained, multi-faceted approach, which is not simple or easy. Even before entry-level, there don’t seem to be sufficient South African…

Women over the age of 55 are the fastest-growing segment of the property owners in South Africa, bond origination company BetterBond said yesterday. “More specifically, single women are purchasing property from about middle-age onwards. Single women over the age of 40 are increasingly interested in freehold homes in the R500 000 to R1 million price band,” the company said in a statement. Bradd Bendall, head of sales at BetterBond, said: “The South Africa picture aligns with the global scenario; women above the age of 55 are the fastest-growing demographic of home-buyers. They increasingly value home ownership and stability later in life.” In a market of more than 7 million South African homes, single women own 83 418 more homes than single men, with females mostly purchasing as repeat…

THIS quick guide provides an overview of everything you need to know to manage your tax efficiently and ensure that your operations are tax compliant. Tax basics for SMEs Most small and medium enterprises (SMEs) are not always liable to pay tax due to a low level of profit or not meeting the minimum threshold to pay tax. However, it’s still important to be registered with SA Revenue Service (Sars), within 21 business days after becoming an employer, unless none of your employees are liable for normal tax. Getting registered from the outset and submitting tax returns timeously will ensure that as your business grows and your tax obligations change, the process of paying tax is set up and that you won’t incur unnecessary penalties in future. These are the…

The JSE reported a slow start to 2024, but value traded in the equity market started to recover in the second quarter to end-June, with the trend extending into July, group CEO Leila Fourie said yesterday. Higher trading activity was reflective of positive market sentiment stemming from the outcome of the national elections and the formation of the Government of National Unity (GNU), Fourie said at the release of the interim results of the operator of the JSE. “We remain on track … to position the JSE as a diversified and sustainable exchange, through next-generation technology, expanding our range of products and services, entering new markets, providing fair and transparent regulation, and strengthening our operational capabilities,” she said. Net profit after tax of R493 million, the same as at the…

Two weeks after 95 Libyan nationals were arrested at what is alleged to be a “military training camp” in Mpumalanga, authorities have more questions than answers. Questions about how the nationals got to the camp and why they were being trained are yet to be determined, despite the Private Security Industry Regulatory Authority (Psira) having declared the facility to be illegal. The oversight body, during a media briefing in Tshwane yesterday, informed journalists that investigations found that the training facility was illegal. It was considering legal action against the trainers and individuals linked to the facility. The Libyans, who could be facing more charges, are being prosecuted for contravening the South African Immigration Act after provincial police raided the White River facility last month. The men were found to have…

SOUTH Africa’s Ashleigh Buhai delivered a strong performance on the opening day of the Olympic women’s golf tournament in Paris yesterday. Having only recently recovered from a broken toe, Buhai was in splendid form from the opening tee, shooting a first round of four-under-par 68, including five birdies and a bogey, to sit three shots behind home favourite Celine Boutier. Frenchwoman Boutier had strong support throughout her opening round and thrilled the locals with eight birdies to finish with a brilliant seven-under 65. Defending Olympic champion Nelly Korda of the US is down in 13th place, seven strokes behind the leader, with Mexico’s Gaby Lopez, Colombian Mariajo Uribe and Morgane Metraux from Switzerland tied with Lilia Vu of the US in third place. South Africa’s other competitor in the field,…

Imane Khelif, one of the two boxers at the heart of a gender dispute at the Paris Olympics, vowed to put the controversy behind her and make Algeria and the Arab world proud. Khelif delivered a flawless performance against Thailand’s Janjaem Suwannapheng on Tuesday night to reach the final of the welterweight tournament in front of the massed Algerian fans at a repurposed Court Philippe Chatrier. When Khelif was announced as winner, the crowd, waving Algerian flags and scarves, let out an ear-splitting roar. “I don’t want to talk about the controversy,” Khelif told reporters. Khelif, a silver medallist at the 2022 world championships, and Taiwanese boxer Lin Yu-ting have been in the spotlight at the Paris Games as part of a storm that has dominated headlines and been the…

IT HAS been done before, so it is possible. But can it be repeated? Can South Africa win Olympic gold in the men’s marathon? The immediate and honest answer would be no – and with good reason, too. After all, what chance do South African marathoners stand against the great Eliud Kipchoge, who is going for a third successive victory at the Games? None would be the answer, right? Add Kenenisa Bekele to the mix, and our Stephen Mokoka and Elroy Gelant have very little chance of emulating Josiah Thugwane, who was victorious 28 years ago at Atlanta 96. The marathon, though, is a strange beast of an event where surprises cannot be ruled out. After all, unlike the marathon majors where the fastest usually win, the Olympic marathon is…