South Africa

Activity in equity capital markets looks to be growing after a summer lull. Several large transactions have either been announced or completed in Europe and Africa.

Activity is ramping up in emerging markets with several mandates coming through this week. While the unrelenting buying of the asset class continues, idiosyncratic risks are a reminder of the volatility that can arise.

The renminbi rejoined the top five of most used payment currencies in the July rankings from Swift, with South Africa seeing considerable growth in renminbi payments in the past year, the organisation said on August 24.

A couple of banks are finalising their approvals for the $1bn loan for South African telecoms group MTN and the deal is due to sign before the end of next week.

Steinhoff has agreed a loan with one new lender and bumped up its bridge facility with Crédit Agricole and UniCredit. The steps were taken to support the retailer’s increased offer for the UK’s discount retailer Poundland.

European equity capital markets remain muted ahead of what many participants expect to be an extremely busy autumn window. Yet in London, there is one live deal of substantial size progressing steadily towards completion.

The usage of renminbi in Africa has long been talked up given China’s status as the continent’s largest trading partner. Developments over the past couple of years have been slow, however, though there are now signs of activity with several African nations visiting Hong Kong in November to learn more about RMB reserves management.

Ascendis Health, the South African manufacturer of diet supplements, garden pesticides and medical equipment, has raised R1.2bn ($83m) through an oversubscribed rights issue that will enable it to complete two European acquisitions.

South Africa's Steinhoff is lining up $3.8bn in loans to buy bedding retailer Mattress Firm. The acquisition will give the retailer a foothold in the US consumer market.

Ethos Capital, a permanent capital vehicle belonging to Ethos Private Equity, one of the largest private equity companies in sub-Saharan Africa, had a bumpy ride on its first day of trading on the Johannesburg stock exchange.

MTN, the South African telecoms group, is syndicating a $1bn new money loan that could involve non-relationship lenders.

Ethos Private Equity, the largest private equity firm in sub-Saharan Africa, has announced plans to raise up to R1.8bn ($123m) by listing a permanent capital vehicle in an IPO on the Johannesburg Stock Exchange.