Innholdsfortegnelse for 2024-01-31 i Star

Group would be profitable through a results-orientated no-nonsense approach TRANSACTION Capital, after last year’s dismal financial performance, is exploring the listing of its fast growing used vehicle business WeBuyCars, as part of a broader restructuring to bring the group back into profitability. “The board has in principle resolved to pursue the unbundling…the construct of the unbundling is yet to be finalised,” the group said yesterday evening in a JSE announcement. Newly-appointed CEO Jonathan Jawno wrote in the annual report yesterday that the group would be driven back to profitability through an entrepreneurial, results-orientated, no-nonsense approach with complexities being simplified, business fundamentals brought back into focus, and a back-to-basics ethos. The group is facing significant change and reviews of its businesses. Acquisitive growth had been halted in favour of “fortifying the…

PEPKOR, the owner of household brands PEP, Ackermans, Tekkie Town, among others, said in a trading update for the three months ended December 31, 2023, that it managed to grow its market share and revenue delivering healthy sales. Its group merchandise sales increased by 5.5% and like-for-like sales increased by 4.1% for the quarter. Group revenue from continuing operations for the quarter increased by 7.2% to R26 billion. “The group’s discount and value brands continue to resonate with customers, delivering healthy sales growth from a solid base in the comparable quarter last year,” it said. Based on the latest RLC data to December 2023, the retailers said it had expanded overall market share in each month during the quarter and also on a three, six and 12-month rolling basis.…

SOUTH African households are ex- pected to continue borrowing less from the banks due to the high costs of debt even as companies are taking more loans to install alternative sources of energy in a bid to keep their business doors open on the back of persistent load shedding. Data from the South African Reserve Bank (SARB) yesterday showed that demand for credit rose more than expected to a five-month high in December, buoyed by the corporate sector. The SARB said that private sector credit extension (PSCE) grew by 4.9% year-on-year in December 2023 compared with a 3.8% rise in November, surpassing market forecasts of 4.1% growth. This was also the 30th consecutive month of growth in private credit, and the largest increase since July 2023. Credit growth’s overshoot in…

WHILE the South African government maintains an official position that the unbundling of Eskom into three entities, transmission, distribution, and generation, won’t lead to privatisation, the assertion that the move is “reckless” and would result in Eskom’s eventual death spiral could prove to be valid. In the current regulatory environment that Schedule 2 State-owned enterprises (SOEs) like Eskom are compelled to operate under, there is no possibility in the world that Eskom Generation State-owned company would be able to sell electricity through the National Transmission Company and still be competitive against independent “subcontracting” power producers (IPPs). Eskom Generation will, under an unbundled framework and with the burden of all the red tape, without a shadow of doubt, be the most expensive producer of electricity in South Africa. The policies…

SHOPRITE Holdings inflation-beating 13.9% increase in merchandise sales to about R121.1 billion in the six month to December 31 brought to 58 weeks the number of uninterrupted monthly market share gains in South Africa, the group said yesterday. Approximate sales from continuing operations were 13.2% higher in the first quarter of 2023, compared with the same period a year before, and 14.6% up in the second quarter, which is traditionally stronger as it falls over the Christmas trading period. The share price closed 3.21% higher at R272 on the JSE yesterday, but the share price has increased steadily by more than 48% over three years. By segment, Supermarkets RSA sales of R97.5bn was up 14.6%, 13.3% in the first quarter and 15.8% in the second quarter. Supermarkets Non-RSA sales…

Late rapper AKA was celebrated on what would have been his 36th birthday by the Forbes family and Nadia Nakai, who gathered at his graveside to pay their respects. It has been almost a year since the award-winning rapper was shot outside Wish, a Durban restaurant. Recently, AKA’s close friend L-Tido also visited the grave, marking the sombre occasion. Following his social media post, reactions were swift and varied. Some criticised L-Tido for pouring Cruz Vodka on the grave, deeming it inappropriate, while others defended the gesture, finding solace in the unique way he chose to remember his departed friend. AKA had collaborated with Cruz Vodka in the past. The partnership involved him being an ambassador for the brand and participating in promotional activities for Cruz Vodka. In the context…

ActionSA leader Herman Mashaba says incidents such as the Phala Phala scandal at the farm owned by President Cyril Ramaphosa were fuelling crime and illegal immigration. Mashaba, who wants a crackdown on illegal migrants, said international criminals were encouraged and saw South Africa as their playground because of the criminal behaviour of some of its leaders. “People must come here legally and must respect our laws. Those who are here and do not respect them, we must not be apologetic, we must send them back to their countries. We want to ensure that when people bring money to our country, they must do that through the right channels. “We respect the Reserve Bank but we have a problem with how the Reserve Bank has dealt with the Phala Phala issue.…

The Gauteng provincial government has decried the continued destruction of its infrastructure following a spike in vandalism and theft of its traffic lights. The provincial Department of Transport said criminals have caused at least R30 million damage to its traffic lights across provincial routes. It was deeply concerned about the growing incidents of theft and destruction to its traffic infrastructure, it said, as it struggled to keep up with the maintenance of its equipment. “The department faces an enormous battle of maintaining and protecting the province’s road traffic signals from rampant theft and vandalism. This battle has jumped to more than R30 million in the past year alone, with more than 400 signalised traffic intersections having been vandalised,” department spokesperson Lesiba Mpya. Mpya said in certain areas, the department has…

With Africa growing to be known as a treasure trove of artistic talent, every year music lovers are introduced to fresh artists showcasing distinctive styles of music. Over the years, the music industry has been redefined, with popular genres such as Amapiano and Afrobeats cutting across the globe and exhibiting Africa’s talent. In southern Africa, Spotify has shared a list of ‘African Artists to Watch in 2024’, with South Africa leading the pack with the most artists. Nanette This Durban talent began her music career in 2021 with the release of her debut album, Bad Weather, which featured a cameo appearance by Nigerian musician Idahams of Man of Fire fame. Highly regarded in the R&B genre, she was also featured on Kelvin Momo’s December 2022 singles Fool Me…

Marco van Staden is one of the real hard men of South African rugby. He has always been regarded as a highly physical competitor, and even has the fitting nickname “Eskom” – because when he tackles you, it’s “lights out”. But there is another reason the 28-year-old puts his body on the line for the Bulls and Springboks in every minute on the pitch: he nearly lost it all. Van Staden was in the form of his life and achieved great success with the Bulls in the 2020/21 Covid-affected season, and was part of the Bok squad. Then he and wife Chanel opted to move to England, with Van Staden signing for Leicester Tigers. After the initial excitement, things became difficult for the openside flank after a couple of…

BUSINESS Unity South Africa (Busa) has appointed former Exxaro Resources CEO Mxolisi Mgojo as its new president, months after Bonang Mohale stepped down in August 2023. Following Mohale’s stepping down a year before the expiry of his term of office, the Busa board appointed the deputy president, Adrian Gore, to act as president and tasked him with leading the process leading to the appointment of the new president. Busa CEO Cas Coovadia yesterday welcomed Mgojo and said they were looking forward to his leadership and guidance. Coovadia said Mgojo would serve as president until August 2024, but will be eligible to be reappointed for a further period of three years. “Mxolisi has played, and continues to play, a critical role in organised business and his experience, insights, and integrity will…

THE INTERNATIONAL Monetary Fund (IMF) has urged South Africa to stay on its fiscal consolidation path and continue implementing structural reforms as it downgraded the country’s economic outlook for this year. In its World Economic Outlook (WEO) yesterday, the IMF slashed South Africa’s gross domestic product (GDP) forecast to 1% in 2024, signifi- cantly down from 1.8% previously forecast in October 2023. The IMF’s GDP forecast for 2024 is lower than the 1.2% expected by the SA Reserve Bank in its first forecast for the year issued last week, though they both forecast 0.6% in 2023. IMF chief economist Pierre-Olivier Gourinchas said South Africa’s persistent energy and logistics crises were going to significantly stifle economic growth this year. “All of the disruptions we’ve seen in the energy sector and also…

Last year’s poly-crisis – a simultaneous occurrence of several catastrophic events – is likely to persist for a while, making the operating environment a tough place to be this year. This is according to Thabiso Ru- lashe, the head of strategy and investor relations at Santam. He told Business Report in an interview that 2024 would see multiple geopolitical, macroeconomic and climate-related trends continuing to create widespread uncertainty for the insurance industry. Trade tensions, supply chain disruptions, the Europe/Middle East war, and regulatory and sustainability/- climate-related pressure points would keep the world and the industry occupied. “For insurers, mostly South African insurers will look to return to profitability, whilst dealing with the constrained economy. The obstacles to growth are persistent energy shortages, infrastructure decay, high crime and freight and logistics…

THE STATE MUST wrestle back control of the economy. Over the years the South African government gave up its leading position of controlling and directing this growth. The results of losing control of strategic levers of the economy are now clearly visible for all to see. We are in an almost collapsed economy. Sectors of the economy and major industries and companies are closing down daily. Companies and industries are migrating to more economically favourable destinations internationally. Around the world it is the State that leads the economy in all policy fronts. The pace and rate of economic growth is tied to direct State interventions, which are carried out by the state to lead the economy in all fronts. So it is foolish to think that the private sector on…

GROWTHPOINT Properties, the JSE’s largest primary listed real estate investment trust (Reit), has entered into a Power Purchase Agreement (PPA) with Etana Energy for 195GW/h of renew- able energy a year, or 32% of its annual electricity consumption. The deal has set in motion the country’s first multi-jurisdiction, multi- building, multi-source renewable energy wheeling arrangement, and will enable Growthpoint’s tenants to access green energy and reduce their carbon footprint. Growthpoint signed a PPA with electricity trader Etana Energy in November to wheel electricity to Growthpoint’s commercial property buildings in several areas across the country. Through the agreement, Etana will cover 70% of the power consumed by Growthpoint’s participating buildings. In some buildings, Growthpoint will even be able to provide its tenants with the ability to purchase 100% renewable energy. Growthpoint…

LOCAL crime drama Soon Comes Night has scored two triumphs in its first week on streaming platform Netflix. The show, which stars Kwenzo Ngcobo in the lead, has been selected to be featured at the 10th Berlinale Series Market from February 19 to 21. The prestigious event is a cornerstone of the European Film Market, providing a global stage for exceptional serial content that draws attention to outstanding series. Soon Comes Night will feature among the series from Argentina, Australia, Brazil, the Czech Republic, Denmark, France, Latvia, Portugal, Spain and the UK. Within three days of its launch, the gripping drama was also the number one most-streamed series on Netflix South Africa. Produced by Ochre Moving Pictures and directed by Thabang Moleya, the series tells of Alex Shabane (Ngcobo), a…

The Gauteng High Court, Pretoria, yesterday dismissed an application by veteran musician and producer Arthur Mafokate to have his property, a luxury guest house, released from a preservation order. On December 21, 2022, the Asset Forfeiture Unit (AFU) of the National Prosecuting Authority (NPA) obtained an order to preserve the property situated at 85 Carslwald Road in Midrand. Mafokate is the sole director of 999 Music, according to Lumka Mahanjana, Gauteng regional spokesperson for the NPA. “This followed investigations conducted by the Special Investigating Unit (SIU) into the National Lotteries Commission (NLC), which revealed that the South African Arts and Development Organisation (SAADA) was granted R9.3 million to assist unemployed youth in the poor and rural areas of the country, to impact skills in music, business video, film production, dance,…

The embassy of the People’s Republic of China in South Africa kicked-off its Chinese Lunar New Year celebrations, with revelries also knows as the Spring Festival hosted at Time Square in Pretoria, in accordance with the lunar calendar. This year, the Chinese New Year falls on February 10. The year 2024 has been marked as the Year of the Dragon, according to the Chinese zodiac, which features a 12-year cycle, with each year represented by a specific animal. The event was attended by senior South African government officials and diplomats, including Minister of Tourism Patricia de Lille; South Africa’s Ambassador to China, Siyabonga Cwele; and the new Consulate-General of China in Joburg, Pan Qingjiang. Addressing hundreds of attendees at the glitzy event punctuated by breathtaking cultural performances, the Ambassador of…

OBARO has announced Farmers Friend Enterprise as the company’s official farm management platform. In its first phase, this partnership will give OBARO employees and select OBARO farmers access to the Farmers Friend product suite. The cloud-based mobile and web application offers a first-of-its-kind digital management solution for farmers, enabling them to manage, securely store, track and seamlessly share information. Farmers Friend Enterprise is an agricultural tool that minimises costs, mitigates risk, and assists farmers to have full insight into their day-to-day operations as a means to offer them the best possible opportunity of maximised success for their harvests and yield. The result is an agricultural environment with reduced communication friction which aims to expedite access to finance, and critical products and services. IQ Logistica will provide support to OBARO during…

SOUTH Africa’s attractiveness for private business has improved in the past year, although corruption is worsening while access to capital has remained a drawback, in addition to logistics and energy bottlenecks, notes PricewaterhouseCoopers (PwC) in a new report. Despite recording a reduction in foreign direct investment inflows from R26 billion in the third quarter to September 2023 compared with R53.8bn in the second quarter, South Africa is outperforming other peers in the Europe, Middle East and Africa region (Emea). According to the Emea Private Business Attractiveness Index released by PwC yesterday, South Africa ranks 23rd out of 33 countries surveyed, an improvement from 2021 and 2022 when the country was ranked 31st and 25th, respectively, under the same index. “Within the Emea region, South Africa is being looked at…

TOYOTA’S chairperson said yesterday he was “ashamed” of recent scandals involving subsidiaries of the Japanese car giant, as the firm announced record vehicle sales of 11.2 million across its brands last year. The bumper figure – an industry record – sees Toyota retain its position as the world’s top-selling carmaker for the fourth successive year, thanks to a recovery in demand and easing chip shortages. Taking only the Toyota and Lexus brands, global volume sales totalled 10.3 million units, but growth fell for Daihatsu, which builds mini-vehicles and is embroiled in a rigged safety test scandal. Truck and bus-maker Hino, which has also been hit by a scandal related to rigged tests of its engines in Japan, saw volume sales sink almost 10%. It came a day after…

BIG Brother Mzansi got off to a dramatic start with the eviction of the first housemate coming within the first week of the show airing. On Sunday, Thembisa Bolt driver and club hostess Mbali “Mali” Miya had to exit the house. Before leaving, she told Big Brother: “It was so much fun, so much positivity. The housemates were such great people, so I really had a good time. So I would say that my week has been really great.” At the live show, Miya said that she was bummed to be out so early and that she was a bit overwhelmed by the big personalities in the house when she went in, and did not show up fully. “I am happy, though, that I stayed true to who I am.…

Wow, time does fly. We are already a month into the year. And if you haven’t seen a theatre show as yet, we’ve picked out a few to diarise in the coming weeks. You can’t go wrong with an Alan Committie show. And this time, he is Fast and (Reasonably) Furious with his humour. Currently receiving rave reviews in Cape Town, he is headed to Pieter Toerien’s Montecasino Theatre for a limited season from February 7. According to the press release, Committie, displaying his lightning-fast wit coupled with his madcap physicality and renowned crowd engagement, is screeching his way across the stage with high-octane, Vin Diesel-fuelled laughs for the post-holiday season. Fast and (Reasonably) Furious is directed by Fleur du Cap Lifetime Achievement winner Christopher Weare and designed by tequila-sipping…

The 2021 July unrest victims are disappointed with the recommendations and findings revealed on Monday by the South African Human Rights Commission (SAHRC) and the Commission for the Promotion and Protection of the Rights of Cultural, Religious and Linguistic Communities (CRL Rights Commission). Residents of the Khan Road informal settlement in Pietermaritzburg were allegedly attacked during the riots by security guards who accused them of looting in nearby businesses owned by Indians. Some residents lost their lives in the attack, while others were injured and their homes torched. Speaking to The Star’s sister paper, the Daily News, Zandile Nguse, 35, the mother of 16-year-old Thobani Nguse, who was shot and killed, said the report had opened unhealed wounds. “I do not think the report has done any justice. Our lives…

The Auditor-General has laid bare the state of finances at the Passenger Rail Agency of South Africa (Prasa), which has been under strain in the last few years with low revenues and a drop in passenger volumes. The auditor-general gave Prasa a qualified audit opinion. This comes at a time when Prasa is busy with the revitalisation of some of its stations and railway lines. In the annual report with audited financial statements Prasa said irregular expenditure has been declining since 2016. But they wanted to address some of the issues around irregular expenditure. Minister of Transport Sindi Chikunga tabled the report in Parliament. Chikunga had requested an extension from Speaker Nosiviwe Mapisa- Nqakula to table the report later. National departments and state-owned entities are required by law to…

LAND-GRAB has been highlighted as one of the factors behind illegal water connections on the City of Tshwane’s reservoirs. As a result of the illegal occupation of land and water connections the City has its water system put under strain with water shortages to residents, according to mayor Cilliers Brink. Brink expressed the concern during his visit to Mamelodi township where he inspected the extent of illegal water connections in the area this week. For some time many residents in the township have been left without water owing to illegal connections and Rand Water’s pipe that burst. Brink said: “We are working on full restoration of water to affected Mamelodi residents. However, the main issue is illegal connections on our water systems by informal settlements. We need to work together…

African National Congress (ANC) member of Parliament, Sibusiso Kula, is expected to go on trial in May for his wife's murder. Kula, who is currently out on R50,000 bail, is accused of killing his wife, Jennifer Mohlomi in November 2022. National Prosecuting Authority (NPA) North West spokesperson, Henry Mamothame, said the North West division of the High Court, sitting in the Klerksdorp Regional Court, set the dates for trial after both the State and Kula's legal team confirmed their readiness to proceed to trial. Kula was arrested after Mohlomi's body was found in their home on November 27, after an apparent robbery. Mohlomi suffered a stab wound to her back. However, the object used to stab her was not found. Mamothame said the matter was reported by the medical facility…

Since South Africa brought its case against Israel at the International Court of Justice (ICJ), in The Hague, last month, the world’s attention has been riveted on the outcome. The question that dominated public discourse was whether the ANC-led government of President Cyril Ramaphosa, had made the right move to what effectively posed a crucial moral and political challenge to Israel’s western protectors. Claims of “meritless” and “baseless” by senior Western leaders emerged to discredit South Africa’s submission. The words uttered by the Biden administration were: “Meritless, counterproductive and completely without any basis in fact whatsoever”. Such demeaning attempts to dismiss the case were matched by Israel’s legal team who sought every legal trick to persuade ICJ to reject the application. Finally, when the ICJ issued its verdict, all the…