Debt Finance |

Paris Club Sees Private Creditor Relief Varying in G-20 Plan

LAGOS (Capital Markets in Africa) — Debt relief provided by private creditors for the world’s poorest nations under a Group of 20 restructuring plan will hinge on each borrower’s situation and might not necessarily reduce any money owed, according to the chair of the Paris Club. Emmanuel Moulin, the head of the French Treasury, said in an interview on Wednesday that debtor countries participating in the so-called G-20 common framework will need to get private…

South Africa’s High-Speed Rail Network Seeks Cash for Trains

Posted on by The Editorial Team

JOHANNESBURG (Capital Markets in Africa) – South Africa’s high-speed rail network is seeking 4 billion rand ($290 million) to increase its number of trains by 50 percent ahead of a potential expansion to other parts of Johannesburg and Pretoria. The Development Bank of Southern Africa Ltd. is leading the fundraising, a spokeswoman said in an emailed response to questions on Wednesday. Canada’s Bombardier Inc., CRRC Corp. of China and local firm Egoli Rail are among the…

Mauritius to Sign Free-Trade Accord With China, Premier Says

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PORT LOUIS (Capital Markets in Africa) – Mauritius will become the first African nation to sign a free-trade agreement with China, Prime Minister Pravind Jugnauth said. The two nations are discussing the establishment of a renminbi clearing house in Mauritius, while China has agreed to purchase 50,000 metric tons of specialty sugar from the Indian Ocean island nation, Jugnauth said in remarks broadcast Wednesday by Radio Plus in the capital, Port Louis. “A memorandum of understanding has…

South Africa Tests Investor Appetite in Biggest Bond Auction Yet

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JOHANNESBURG (Capital Markets in Africa) – South Africa’s widening budget deficit is going to cost it. Just how much, the Treasury will find out when it holds its biggest auction yet of local-currency debt on Tuesday. Benchmark 10-year yields have climbed more than 60 basis points since Oct. 25, when Finance Minister Malusi Gigaba said the government will need to raise an additional 122 billion rand ($8.4 billion) of debt over the next three years to plug…

Kenya’s ARM Is Said to Become Next Target in Africa Cement Wars

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NAIROBI (Capital Markets in Africa) – ARM Cement Ltd., the Kenyan building-materials supplier, is the newest takeover target in the battle among the world’s biggest cement makers to expand in Africa, according to people familiar with the matter. ARM’s owners are exploring a sale, said the people, who asked not to be identified because the talks are private. The Nairobi-based company is currently valued at about $133 million on the Nairobi stock exchange, though the…

African Lender Mulls U.S. Bond Sale to Fund Trade Financing

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DAR ES SALAAM (Capital Markets in Africa) – Trade & Development Bank, a trade financier with operations in 21 African countries, will hold an investor roadshow in the U.S. next year to prepare for a possible Eurobond sale, Chief Executive Officer Admassu Tadesse said. TDB completed a promotional campaign in Gulf states last month, where it’s in the process of finalizing $200 million of funding, Tadesse said in an interview Thursday at his office in the…

Nigeria bond auction raises 56 bln naira, less than half of amount on offer

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LAGOS (Capital Markets in Africa) – Nigeria raised 56.05 billion naira ($179 million) in a bond auction on Wednesday, less than half the amount on offer as domestic pension funds and insurance firms cut orders due to low yields, traders said on Thursday. The Debt Management Office (DMO) offered 135 billion naira worth of bonds maturing in 2021, 2027 and 2037, but investors shunned the auction to take positions in the relative liquid secondary market….