Atta Africa Finacial Update

Executive summary
Of the countries hot on the watch-list for private equity players across Africa, Nigeria will likely see more private equity deals this year than anywhere else, not least because of a new crop of cheap financing emanating from the European Union, searching for higher yielding emerging markets. Increased debt financing is expected to flow out of Europe into Africa in a renewed search for higher yields on the back of European Central Bank monetary stimulus, combined with an increase in the scale of Chinese appetite for debt in the African market. Watch this space.

Baker & Mackenzie predicts increased public stock listings across Africa

  • Baker & Mackenzie predicts that the number of Africa firms listing their shares could jump by 25% in 2015
  • Last year, the number of IPOs grew by over 30 percent, the highest level since the global financial crisis - during this period, companies have raised more than US$2 billion from public investors
  • Firms in the real estate, financial and energy sectors were expected to be most active and that most new listings would be on markets in Egypt, Kenya, Morocco, Nigeria, South Africa and Tunisia


Botswana coal companies move forward without Trans-Kalahari

  • Coal explorers in Botswana are pressing ahead with plans to start production and use existing rail capacity to ports in South Africa and Mozambique
  • This is instead of waiting for a line being built to Namibia
  • Namibia and Botswana are jointly developing the 1,500-kilometre Trans-Kalahari Railway to transport coal from the east of the landlocked country to markets in China and India
  • Mozambique and South Africa, the world’s seventh-largest coal producer, have offered 20 million metric tons of annual railing capacity to Botswana