Top deals making headlines this week

In focus this week: Texton Property Fund, Cipla Limited, Sabvest, Chevron and more.

Texton Property Fund

South Africa’s Public Investment Corporation (PIC) has increased its shareholding in JSE-listed real estate company Texton Property Fund, growing its stake from 5.2 percent to 18.9 percent. The transaction means that the PIC has now become Texton’s largest shareholder.

The PIC’s increased shareholding follows the transfer of shares formerly owned by Texton’s Broad-Based Empowerment consortium to the PIC, after the empowerment entity defaulted on its loan with the PIC.

Read more here

Cipla Limited

Cipla Limited, South Africa’s third largest pharmaceutical company in the private sector, said it will acquire a 30 percent in healthcare company, Brandmed, for an undisclosed amount.

Brandmed, which is based in South Africa, was founded in 2014 by cardiologist Dr Riaz Motara. The transaction will be executed by Cipla's South African arm Cipla Medpro. In February, Cipla had announced a similar partnership in India with Wellthy Therapeutics to offer a clinically-validated digital disease management platform to patients in cardio-metabolic health.

Read more here

Sabvest 

Sabvest, a JSE-listed investment group, has announced that it has acquired a 30 percent stake in digital asset management platform Revix, a fintech start-up based in the UK but has roots in Cape Town.

Revix uses bundling technology and smart portfolio management software to make it simple for people to invest over the long-term in a diversified basket of cryptocurrencies. Sabvest is investing alongside the Revix co-founders Louis Buys, a tech entrepreneur, and Sean Sanders, a former Sabvest portfolio manager.

Read more here

Chevron 

U.S-based oil company Chevron announced that it has signed an agreement to acquire Anadarko, an exploration-production company based in Texas that has assets in Algeria, Mozambique, Ghana, and South Africa.

The total cost of the transaction amounts to $50 billion, taking into account a cash and stock deal for $33 billion and Anadarko’s $15 billion debt, which will be assumed by Chevron. The transaction amount will be settled in cash and shares.

Read more here

Northam Platinum 

Northam Platinum said it has raised R1.65 billion through a private placement of domestic medium-term notes.

The company has essentially raised money through capital debt markets under its R2 billion domestic medium term note programme. It has raised capital in debt markets in three tranches.  The mining company said it had placed R250 million worth of domestic medium-term notes maturing in a year, and another R250 million worth of notes that maturing in two years. It has also placed three-year notes R1.15 billion.

Read more here

Sanlam

Sanlam Emerging Market, subsidiary of South African Salam Group, has finalized the sale of an undisclosed stake in its 75 percent held Kenyan subsidiary Sanlam Investment East Africa. The buyer’s identity was not disclosed.

The South African insurer will get Ksh730 million ($7.2 million) from this operation. Two years ago, Sanlam acquired 75 percent of asset manager Pinebridge and rebaptised it Sanlam Investment East Africa.

Even though Sanlam’s sale is a partial disinvestment, it marks the second South African firm to have exited from the Kenyan asset manager. The disinvestment of Standard Bank from Liberty was the first.

Sithega

Sithega, an investment management company, has, via its newly-formed financial services fund, acquired a controlling equity stake in financial services group Prescient.

Sithega will own 75 percent of the Prescient Empowerment Trust, which in turn owns 56 percent of Prescient Holdings. It has paid R360m for this stake, with support from a range of long-term stakeholders. These include Yellowwoods, the holding company of the Enthoven family, which controls Hollard.

Prescient Holdings has businesses in fund administration, securities trading, wealth management and retail products, with an objective to build a global financial services group.

Naspers

Online payment service PayU has acquired California-based payment and security firm Wibmo for $70 million (R973 million). The firms said they will continue to run separately, though they will work together to build unique solutions.

PayU, a subsidiary of South Africa’s online conglomerate Naspers, said the deal will allow its merchant and financial institution partners to improve conversion rates and increased sales.

Liberty

Liberty Life's subsidiary Liberty Life Namibia has acquired full ownership of Specialist Administration Services, a boutique retirement fund administrator based in Windhoek. Financial details of the transaction was undisclosed.

The acquisition is effective from April 1.

Liberty said the acquisition signals its intention to expand its Namibian presence beyond their long-term insurance and investment business, noting that local demand for diversified solution is rising commensurate with a growing middle class and business community.