Finance

LAGOS (Capital Markets in Africa) – Nigerian lawmakers increased spending plans for 2018 by almost 6 percent from what President Muhammadu Buhari proposed in November. Of the new suggested budget of 9.1 trillion naira ($25 billion), 3.5 trillion naira is for recurrent expenditure, 2.8 trillion naira for capital spending and 2.2 trillion naira for debt servicing, according to a paper of proceedings in the House of Representatives released Tuesday. Provisions are also made for statutory transfers and…

LAGOS (Capital Markets in Africa) – It’s meant to be a cash cow, but the state oil company of Africa’s biggest producer is bleeding money. Nigerian National Petroleum Corp., the Abuja-based behemoth that dominates the OPEC member’s energy industry, has made losses for at least the last three years, statements on its website show. It will probably register another in 2018, according to Ecobank Transnational Inc., as its refineries and fuel-retailing arm fail to generate…

LAGOS (Capital Markets in Africa) – MTN Group Ltd. plans to borrow as much as 400 billion naira ($1.1 billion) in Nigeria this year as Africa’s largest wireless carrier by sales seeks to fund local investment and replace existing debt in the continent’s most populous country. MTN plans to sell bonds and take out long-term loans as Nigeria, Africa’s biggest oil producer, recovers from a 2016 economic contraction. The carrier expects to list its Nigerian unit on the…

JOHANNESBURG (Capital Markets in Africa) – Africa’s largest company just chalked up another major investment coup. Naspers Ltd. netted a cool $1.6 billion profit from the sale of its 11 percent stake in Indian e-commerce start up Flipkart, a deal almost as lucrative as its sale of Polish online auction site Allegro in 2016. The move helps to line the pockets of the media and technology company, which is scouring the globe for investments to convince…

JOHANNESBURG (Capital Markets in Africa) – Sibanye Gold Ltd.’s deal to buy Lonmin Plc is at risk of falling apart as the struggling South African platinum miner burns through cash, according to Liberum Capital Ltd. One of the conditions of the deal is that Lonmin is net cash positive, but because of low metals prices and the strength of the rand, the company is burning through cash, said analysts in a note on Monday. “At…