View profile

IMF to Nigeria's rescue, South Africa Downgrade - Issue #1

Welcome to the first edition of the Africa Finance Review newsletter, covering the important news do
IMF to Nigeria's rescue, South Africa Downgrade - Issue #1
By Africa Finance Review • Issue #1 • View online
Welcome to the first edition of the Africa Finance Review newsletter, covering the important news dominating the world of business, finance and markets in Africa. Tell a friend or colleague who needs to be well informed.

1) Two innovative African businesses partner to deliver fresh produce during COVID-19.
  • Pan-African e-commerce company Jumia and B2B Agtech start- up Twiga Foods  are partnering to deliver produce in Kenya.
  • Jumia offers online goods and services in 11 countries. Based in Nairobi, Twiga raised a $30 million Series B round in October and announced plans to expand its food supply-chain business to West Africa leverage Jumia’s delivery capabilities. Both companies are backed by investment bank Goldman Sachs. For full details click here

2) South Africa downgraded in Global Ratings as coronavirus hits economy.
  • S&P Global Ratings downgraded South Africa deeper into junk territory on expectations that the coronavirus pandemic will drag the country into a sharper economic downturn in 2020 than initially foreseen
  • The country’s contracting economy will face a further sharp COVID-19-related downturn in 2020, S&P Global Ratings said. The rating agency now expects South Africa’s economy to contract 4.5% in 2020, compared with a prior estimate of a 1.6% expansion.For full details click here

3) IMF to send $3.4 billion in emergency support to Nigeria to help with the effects of the COVID-19 pandemic
  • The IMF approved the emergency financial assistance under the Rapid Financing Instrument to support the authorities’ efforts in addressing the severe economic impact of the COVID-19 shock and the sharp fall in oil prices.
  • The IMF financial support will help limit the decline in international reserves and provide financing to the budget for targeted and temporary spending increases aimed at containing and mitigating the economic impact of the pandemic and of the sharp fall in international oil prices. For the full article follow this link

4) Still on Nigeria, the Naira takes a blow on the foreign exchange market.
  • The value of the Naira deteriorated at the Investors and Exporters segment of the foreign exchange market on Monday, April 27 2020, despite lower demand for the US dollar.
  • The domestic currency lost by 0.85 per cent against the American currency on Monday to sell at N386.25/$1.link

Venture Capital Deals
  • Nigerian fintech Okra has raised $1 million in pre-seed funding from TLcom Capital — a $71 million Africa focused Venture Capital firm. link
  • ULesson, a Nigerian e-learning platform has announced new funding raised from Founder Collective – a seed-stage venture capital fund link

Private Equity Deals
  • Value Capital Partners snatches R580m stake in Net1 link
  • A.P. Moller Capital completes acquisition of Iberafrica the 52.5MW Independent Power Producer (IPP) from Naturg, a leading multinational group in the energy sector. link
  • Phatisa Food Fund 2 (PFF 2) and a group of co-investors – Norfund, Mbuyu Capital and DEG – acquires South African integrated agricultural solutions provider Farming and Engineering Services Limited (FES). link

M & A Deals
  • Egypt’s Commercial International Bank (CIB) buys 51 per cent of Kenya’s Mayfair Bank the latest in a string of deals in the East African nation’s banking sector. link

Fundraising
  • Private equity firm Mediterrania Capital Partners has held a final close of its third Africa-focused growth fund at €286m. link

Liquidity Actions:
  • Dangote Cement Plc, recently announced the successful issuance of NGN 100 billion series 1 fixed rate senior unsecured bonds, due April 2025 under the company’s NGN 300 billion bond programme.link

People Moves
  • Jon Hughes joins CDC Group as Chief Risk link 
  • Dr Kinglsey Obiora joins The Africa Finance Corporation (“AFC” or the “Corporation”) as Chairman.
  • Ms. Soula Proxenos, Henry Oroh and Mr Batchi Baldeh have joined as Independent Non-Executive Director and Non-Executive Directors respectively. link

 

Did you enjoy this issue?
Africa Finance Review

A weekly newsletter covering the most important business, finance, and markets news dominating fast changing Africa.

If you don't want these updates anymore, please unsubscribe here.
If you were forwarded this newsletter and you like it, you can subscribe here.
Powered by Revue
London