Innehållsförteckning för 2024-05-15 från Mercury

LOWER mining production and a plunge in mineral sales in the first quarter of this year is dragging down South Africa’s gross domestic product (GDP) growth, and is reflecting reduced profitability in the sector despite a rally in the price of gold. Data released by Statistics SA (StatsSA) yesterday showed mining production in South Africa declining by 1.7% on a quarter-on-quarter and year-on-year basis in the first quarter of 2024 compared with the fourth quarter of 2023, dragged down by platinum group metals (PGMs), coal and surprisingly gold, whose output volumes lowered by 2.9%. The data by StatsSA showed South Africa’s seasonally adjusted mining production decreasing by 5% on a monthly basis in March compared with February. On an annual basis, mining production plunged the most in 13 months, falling…

JSE-LISTED firms with healthcare exposure tumbled on the exchange yesterday after it was announced that President Cyril Ramaphosa was set to sign the National Health Insurance (NHI) Bill into law today. Business groups slammed the signing of the bill into law, saying in its current form the NHI Bill was fundamentally flawed, would damage the economy and dent confidence in investing in South Africa. Insurance firms with medical exposure fell. Discovery slid 8.07% to R107.21, Momentum Metropoli- tan slid 3.84% to R21.29, Sanlam was down 1.07% at R70.42, while Old Mutual fell 2.16% to R10.89. Private healthcare provider Netcare slid 3.59% to R11.27 and Life Healthcare fell 1.2% to R10.72, while AfroCentric Group, a JSE-listed investment holding company providing services and products to the healthcare sector, shed 1.89% to R2.60.…

ZERO CARBON Charge, in partnership with the Free State provincial government, yesterday launched the R4.3 billion provincial rollout of a network of solar-powered, off-grid, ultra-fast electric vehicle (EV) charging stations. The province signed a collaborative memorandum of understanding (MoU) with Zero Carbon Charge, a private partner providing off-grid electrification and covering strategic routes in South Africa. The project will create thousands of jobs, establish a thriving EV economy within the Free State’s special economic zone, and support energy resilience within the province. The rollout projects includes the construction of 15 electric passenger and seven electric truck charging stations by Zero Carbon Charge and Zero Carbon Logistic. This network is expected to be completed by September 2025. Zero Carbon Charge said in a statement that it would form part…

OCTODEC Investments’ distributable income before tax decreased by 7% to R220.3 million, but it maintained the interim dividend at 60 cents as the real estate investment trust (Reit) navigated tough markets in Tshwane and Johannesburg, and the low interest rate environment. However, dividend guidance was not provided for the second half due to the uncertainty around the elections. However, if all things being equal from the first half, the residential, commercial, industrial and retail property group should at least be able to repeat the interim dividend at year-end, financial director Anabel Vieira said yesterday. “We are pleased to have still maintained a strong capital and liquidity position and loan-to-value ratio, as well as a solid and diversified funding base, which will protect our portfolio and allow us to…

EQUITES Property Fund’s share price received a generous 4.37% lift from shareholders to close at R13.13 on the JSE yesterday after it predicted the vacancy rate for A-grade, sustainable warehousing space in South Africa will remain below 1%, or essentially, fully let. CEO of the JSE’s only logistics focused real estate investment trust (Reit) with operations in South Africa and the UK, Andrea Taverna-Turisan, said at the release of annual results yesterday that the low vacancies at this type of warehousing in key logistics nodes was due to high demand and the scarcity of appropriately zoned and serviced land. The demand for B and C-grade warehousing space in South Africa was not likely to be the same as for sustainability-linked A-grade warehouse space, he said in an interview. “The low…

King Edward VIII Hospital in Durban was yesterday renamed after anti-apartheid activist Victoria Mxenge. Mxenge was an anti-apartheid activist who first received her training in midwifery at this hospital and worked as a nurse at uMlazi Clinic. She later studied law through Unisa and in 1981 she was admitted as an attorney. She and her husband, Griffiths Mxenge, are recognised as Struggle icons. Even after the death of her husband, she continued working at her husband’s law firm, defending students against confiscation of their results by the Department of Education in 1983 and the case of ill-treatment of the imprisoned youth and many other cases. In her honour, the Ministry of the Environment named the third Lillian Ngoyi-class patrol vessel after her in 2005. She and her husband were posthumously…

International arrivals to South Africa have shown a 15.4% increase in the first three months of 2024 compared to the same period last year. This was revealed by the Minister of Tourism Patricia de Lille at Africa’s Travel Indaba at Durban’s International Convention Centre (ICC) yesterday. The news was welcomed by KwaZulu-Natal Premier Nomusa Dube-Ncube, MEC for Health Nomagugu Simelane who was representing Economic Development, Tourism and Environmental Affairs (Edtea) MEC Siboniso Duma and eThekwini deputy mayor Zandile Myeni. De Lille said the country had also welcomed over 1.8 million tourist arrivals from the African continent during the same period, with Ghana and Zimbabwe recording the highest numbers. “It is also important to note the positive trends in domestic tourism. By the end of 2023, domestic trips had surpassed 130%…

The Sharks will have the perfect opportunity on Saturday against Cardiff Rugby to throw some youngsters into the deep end in the United Rugby Championship (URC). While their plan to give their front-line players 40 minutes of rugby this past weekend backfired a bit with unwanted injuries, enough was shown by their replacements to entice head coach John Plumtree to give them a run against the Cardiff side (kick-off 6.15pm). Both teams are on 25 points in the overall URC points table, but unlike the Sharks, who still have something to play for in the Challenge Cup, Cardiff only have pride on the line. They put up a massive fight against the Lions last weekend and pushed them almost all the way. It was only in the late minutes of…

South Africa’s double World Cup winner Siya Kolisi has vivid memories of a tough upbringing, which means no rampaging tighthead prop or 150kg lock can strike fear into him ahead of two Tests against Ireland in July that may be his last as skipper. Springbok coach Rassie Erasmus has hinted that he may appoint a new captain either this year or next, preferring a locally-based option, but could wait until after the eagerly-anticipated series with Andy Farrell’s side. Kolisi, 32, moved to France to play for Racing 92 this season having led the Springboks to World Cup triumphs in 2019 and last year, the latter after pressure-filled knockout wins over hosts France, England and New Zealand each by a single point. Some might call it luck but for Kolisi and…

One June 1, 20 teams will battle to decide who will win the prestigious ICC Men’s T20 World Cup. For some of the players it could be their last chance to have a shot at winning the title. Here, we look at some cricketers who could potentially be playing their last T20 World Cup. Rohit Sharma (India) The India captain has been playing T20Is since 2007 and played handy knocks in India’s title-winning run in South Africa. Now, after having taken India to a runners-up finish in the 2023 ODI World Cup, Sharma would be itching to go one step further through the forthcoming T20 showpiece. But his form in the second half of IPL 2024 has been a concern. In his past seven innings this season, the-37-year-old has been…

BHP IS LIKELY to make another revised and firm offer for Anglo American after the London and Johannesburg-listed resource firm yesterday announced a strategy to spin-off De Beers and Anglo American Platinum (Amplats), but retaining Kumba Iron Ore, ahead of the May 22 deadline stipulated by London listing rules. This comes as Anglo American on Monday rejected BHP’s revised offer, which raised the company’s valuation to nearly $43 billion (R805.5bn), leaving BHP CEO Mike Henry disappointed. Anglo American yesterday laid out its defensive strategy in light of an expected second revised offer by BHP, which entails massive slowdown in crop nutrition, nickel care and maintenance, selling diamond steel-making iron ore and platinum units. Market analyst Simon Brown told Business Report that demerging Amplats “would be real bad for the…

MANTENGU Mining has finalised the acquisition of Birca Copper and Metals (BCM), which mines and processes high-grade chrome ore in the North West province, for R29.9 million. This has paved the way for BCM to expand its production while also enabling Mantengu to grow its footprint and portfolio. As at the end of February this year, BCM had an unaudited net asset value of R102m and posted an unaudited attributable profit of R2m for the year ended February 29, 2024. “The acquisition, valued at R29.9m in Mantengu shares, positions Mantengu to double its chrome operations, enhancing its market presence and reinforcing its commitment to sustainable growth,” the company said in a statement. The acquisition of BCM has helped Mantengu to secure “a substantial increase in chrome ore…

IMPLEMENTATION of the National Health Insurance (NHI) Bill will be a long way off and faces numerous legal actions due to constitutional challenges, experts said yesterday after it was announced that President Cyril Ramaphosa will sign the Bill into law today. Old Mutual Group chief economist Johan Els said the fact that the NHI Bill was going to be signed into law was a moot point at this stage. “Firstly, it’s the fact that any implementation will take very long, because of spending pressures. Secondly, this might be taken to the courts and eventually to the Constitutional Court by private sector health operators,“ he said. He said South Africa was a long way off from the NHI Bill affecting the economy, as it would be implemented over a long-period…

AS THE WORLD prioritises decarbonisation, South Africa stands at a critical juncture in its energy journey. South Africa has historically been powered by coal, of which there are abundant natural deposits around areas like Emalahleni. Approximately 85% – around 42GW of the nation’s electricity – is generated via coal-fired power stations. As the world gears up for COP29 in Azerbaijan, there is a growing global consensus among nations and global alliances to decarbonise globally, with renewables often touted as the best way forward. Globally, institutional funds are being pulled out of fossil fuels, and the coal-based power industry no longer enjoys popular backing. If companies want to do business on the global stage, they have to show their credentials and focus on carbon neutrality. This is the nature of a…

MTN’s NETWORK users have to brace for tariff and bundle offering adjustments as the company implements strategies to defend its resilience against an expected escalation in macroeconomic headwinds after being affected by a plunge in data and voice revenue in the quarter to end March. The rival mobile operator to Vodacom said yesterday that “the remainder of the year is anticipated to continue to present macro headwinds” for its SA operations’ revenue and cost development. This has been made worse by elevated inflation and interest rates as well as the impacts from the ongoing geopolitical volatility. MTN has thus lined up initiatives “to navigate the prevailing conditions” which include price and data bundle offering reviews. “These (strategies) include price-ups in prepaid plans and other portfolios, as well as revision of…

AS THE countdown to the signing of the highly contentious National Health Insurance (NHI) Bill gets under way, civil society organisations are gearing up for the fight of a lifetime to protect the country’s healthcare system. Following the announcement that President Cyril Ramaphosa is expected to sign the NHI Bill into law today, all in the hopes of transforming South Africa’s healthcare system and ensuring universal coverage for health services, a plethora of voices have come out to challenge this move. Political party leaders, civil society organisations and industry leaders have in recent months pleaded with Ramaphosa, urging him to send the bill back to Parliament for further stakeholder engagement. However, those pleas appear to have come to nought. The South African Medical Association’s CEO, Dr Mzulungile Nodikida, said the…

THE grandmother of missing Joshlin Smith has expressed disappointment at the two-month postponement of the court case involving the 6-year-old’s mother along with three others, who are then expected to go on trial. A visibly pregnant Racquel “Kelly” Smith appeared in the Vredenburg Magistrate’s Court on Monday alongside her boyfriend Jacquen Appollis and their friends Steveno van Rhyn and Lourentia Lombaard, who have been charged with kidnapping and human trafficking. Outside court, Saldanha Bay residents showed up in the hope that they would finally hear the location of the missing girl. Dressed in Patriotic Alliance T-shirts, the crowd got out of a chartered bus and sang Struggle songs and chanted: “Where is Joshlin?” Inside court, State advocate Aradhana Heeramun said they were in the process of finalising the case. “All…

Eddie Howe said qualifying for Europe was a “driving force” for Newcastle as he prepares for today’s pivotal Premier League match against Manchester United. Howe’s men are sixth in the table, two places and three points better off than their hosts with two games to go for each team. Chelsea are in seventh place on 57 points – the same as Newcastle. As it stands, the team in sixth place at the end of the season will earn a spot in the Uefa Conference League, the third-tier European competition. But if Manchester City beat Manchester United in the FA Cup final, the sixth-placed team would qualify for the Europa League and the side in seventh would enter the Conference League. “Massive fixture for both teams,” Howe said at his pre-match…

The latter stages of the 2023/2024 DStv Premiership have presented a worrying turn for the worst for an already anxious KwaZulu-Natal football audience. The province has had a front row seat to a worrying decline in the province’s aspirations as well as numbers in the top flight. The conclusion of last season saw the heartbreaking end of Maritzburg United as a top-level side as they were eliminated via the promotion/relegation play-offs. AmaZulu, Golden Arrows, Royal AM, Richards Bay and the Team of Choice were all still in danger of suffering the dreaded drop in the final stages of the previous campaign, and that should have concerned KZN club owners. Now, with two games of the regular season remaining, those exact nightmares have made a horrific return with the Natal Rich…

THE NEW GOVERNMENT administration that will take over the running of South Africa post the elections this month will have its hands full in developing a job-creating economy with the high unemployment in the country. This comes as South Africa’s official unemployment rate rose to its highest in a year, rising by 0.8 of a percentage point to 32.9% in the first quarter of this year, up from 32.1% recorded in the fourth quarter of 2023. Yesterday, Statistics South Africa (StatsSA) said the number of unemployed persons increased by 330 000 to 8.2 million, up from 7.9 million in the previous quarter, marking the highest figure since comparable records began in 2008. Additionally, the number of people who were not economically active for reasons other than discouragement…

OLD MUTUAL Property, a real estate property group owned by financial services giant Old Mutual, is set to bolster its presence in Europe following a significant investment boost. In South Africa, Old Mutual Property manages prime assets, including Gateway Theatre of Shopping in Durban, Cavendish Square in Cape Town, and The Zone @ Rosebank in Johannesburg. Through its joint venture with AG Capital, known as Lion’s Head, the company has secured a €150 million (R3 billion) sustainability-linked investment from the World Bank’s International Finance Corporation (IFC). The group said in a statement yesterday that this strategic move aligned with Old Mutual Property’s vision to expand its operations in Europe, particularly in the logistics sector. Sakina Nosarka, the CEO of Old Mutual Property, said: “This investment is set to…

Afrika Tikkun, a leading youth development and non-profit organisation, yesterday issued a call for immediate action ahead of the elections after data showed South Africa’s jobless rate spiked to 32.9% in the first quarter of 2024 and youth unemployment also rose. Statistics South Africa (StatsSA) yesterday released the latest Quarterly Labour Force Survey, which showed an increase of 0.8 percentage points in the jobless rate from the previous quarter. Lara Hodes, an economist at Investec, said, “Vulnerable youth, comprising those aged 15 to 24, remain the most disadvantaged segment when it comes to finding sustainable employment in this subdued economy. Unemployment in this grouping remains at a critically elevated level. It increased, albeit modestly, to 59.7% in Q1.24 (from 59.4% previously).” She said comparing unemployment rates by level of education…

EACH MONTH seems to herald a new record temperature, the latest being April 2024 as the hottest April ever. The trend seems unstoppable in the short term as many parts of the world are making U-turns on their commitments to reduce their carbon emissions. In the meantime, we have to cope and adapt to a world characterised by ex- treme weather events and a much hotter operating environment. We need to adapt urgently. Climate adaptation is a much-needed, but costly exercise, in a very constrained fiscal environment, knowing that the cost of doing nothing is even more devastating. Like other developing economies, South Africa must safeguard itself against resultant disasters, but also attempt to use these events and progressive climatic shifts as opportunities to adapt to more resilient, low-carbon growth…

DIPULA Income Fund, which yesterday reported a slightly lower interim dividend of 24.58 cents (25.85c) per share, will increase its solar power capacity fourfold before the end of its financial year, and will then treble it over the next 24 to 36 months. Businesses, fearful of the consequences of additional load shedding on their operations, have been doing all they can to bolster renewable energy capacity. JSE-listed Dipula Income Fund owns a R9.8 billion portfolio of 166 retail, office, industrial and residential rental assets countrywide. “Before the end of this financial year, we expect to increase our solar power capacity more than fourfold, from 1.6kWp to 7kWp in total. Then, we plan on trebling this number in the next 24 to 36 months,” CEO Izak Petersen said at…

LINKS between alleged underworld kingpin Nafiz Modack and police in Durban were laid bare in the Western Cape High Court yesterday amid ongoing testimonies into his alleged attempts to extort a Cape Town businessman. Chuckles were heard in the courtroom as a Durban cop took to the stand to tell Judge Robert Henney of his eagerness to meet Modack, who he dubbed as “the Robin Hood of Cape Town” and “Pablo”, in reference to the Colombian drug lord Pablo Escobar. Warrant Officer Kelvin Shunmugan flew in from Durban on Monday to take the stand amid testimonies centred on the extortion of a client of criminal lawyer William Booth. The client, known as “Mr C”, testified from Dubai, saying he fled the country after Modack’s “Hells Angels” were allegedly hired by…

From New York’s bustling streets to the dusty roads of the rural community of Mankosi in the Eastern Cape, nearly half of the world’s population will go to the polls in 2024. The so-called “year of elections” will see some 330 million people in 70 countries cast their votes, South Africa’s 60 million citizens among them. Successful democracies are built on elections that are free, inclusive and transparent and despite the somewhat gloomy headlines, democracies, especially those across Africa, have had some remarkable successes. Take the voting system used in Gambia. With speculation swirling around the integrity of the elections, the country’s unique voting system stands out. Instead of using paper ballots, Gambians vote by placing marbles into drums that represent each candidate and they know their vote has been…

New dad Scottie Scheffler arrived at Valhalla on Monday afternoon and began practice for the 106th PGA Championship, searching for his third Major title and fifth triumph in six starts. World No 1 Scheffler, who captured his second Masters title last month, has been idle the past three weeks while his wife Meredith gave birth to their first child, a son named Bennett whose arrival last week set the stage for Scheffler to compete for the Wanamaker Trophy. “I had high expectations of what that would feel like and those were far exceeded,” Scheffler told The Golf Channel. “I thought it would be pretty great and it’s a pretty amazing feeling. |“It was fairly challenging leaving the house this morning but I’m here, I’m committed to playing this week, I’m…

One of South Africa’s leading medal hopes at the imminent Olympic Games, Jordy Smith, says the surfing event will not be for the faint of heart because of its location in Tahiti, French Polynesia. Durbanite Smith is the most experienced surfer on the World Surf League and he says the waves in Tahiti are “the most dangerous in the world”. “The waves there suit anyone willing to risk their life,” Smith said, with a smile. “I’ve been surfing Tahiti for 20 years and we’re talking scary waves. It is beauty and the beast out there. “If you want to win gold, you have to put it all on the line and go for it,” the 36-year-old Red Bull surfer said. Smith is regarded as the best surfer in the world…