Lynn Bolin

The CEO of Rand Water, Dr Simo Lushaba, has resigned from his position effective from December 31, the group said in a statement on Tuesday. He will be replaced temporarily by current chief financial officer Catherine Smith until a new CEO is appointed. Lushaba joined Rand Water as CEO in April 2002 on a five-year contract.

Sanlam, one of South Africa’s largest life insurers, on Monday confirmed the cost to it of the announced joint settlement agreement between the life-insurance industry and National Treasury at R600-million (pre-tax). Sanlam CEO Johan van Zyl earlier on Monday said that the post-tax cost would be R500-million.

The share price of hotel and gaming group Sun International jumped as much as 4,6% or R3,50 on Monday morning after the company said it expects adjusted headline earnings per share for the half-year ending December 31 to be between 30% and 40% higher than those of a year earlier.

Old Mutual will not raise its offer price for Swedish insurer Skandia, the company said on Thursday. Miranda Bellord, head of media relations at Old Mutual in London, was responding to earlier media reports that the company was considering lifting its R38-billion offer for Skandia in order to persuade some reluctant Skandia shareholders to accept its bid.

The share price of Cape Town-based black economic empowerment group Sekunjalo Investments hit 80 cents in early trade on Monday, gaining eight cents and approaching a four-and-a-half year high of 82 cents. This follows the group’s announcement late on Thursday of a 303% rise in headline earnings per share to 4,76 cents for the year ended on August 31.

The proposed R38-billion takeover of Swedish life insurer Skandia by South African financial and insurance giant Old Mutual plc has been approved by the Swedish Financial Supervisory Authority, Old Mutual said in a statement on Friday. The group hopes to have all of the necessary regulatory approvals in place by mid-January.

Cell C, South Africa’s unlisted third cellphone operator, has posted a 54% rise in its earnings before interest, tax, depreciation and amortisation to R134,5-million in the third quarter of its financial year to the end of September 2005 versus R87,7-million in the second quarter of the year, the group said on Tuesday.

Listed South African retailer Edgars Consolidated Stores (Edcon) has reported a 28% rise in diluted headline earnings per share to 109 cents for the six months to the end of September 2005, versus 85 cents in the year-earlier period. The company declared an interim dividend of 62 cents per share.

Listed fund-management group Coronation Fund Managers, one of South Africa’s largest independent fund-management companies, has posted a 29% increase in its assets under management for the year to the end of September 2005, reaching R82-billion from R63,7-billion a year earlier.

Old Mutual plc, South Africa’s largest insurer, has posted a notable improvement in its South African businesses in the third quarter of its financial year, recording strong growth in life-insurance and unit-trust sales, while lifting its new business margin and stabilising net client cash outflows.

African ministers of finance will be meeting in Tunis on November 22 and 23 to seek common positions on a range of issues affecting regional economic development and chart a course of action for the coming years. The meeting will be hosted by the African Development Bank.

Listed furniture, electronic and electric appliances retailer JD Group has reported a 36% rise in its headline earnings per share for the year to the end of August 2005 to 704,7 cents, from 518,5 cents a year earlier. The group declared a final dividend of 167 cents per share.

Global brewing giant SABMiller has launched a $1,36-billion (R9,1-billion) offer to minorities of Colombian brewer Bavaria SA, in which it recently purchased a 71,8% stake. In terms of the offer, detailed on Friday, SABMiller is offering $19,48 per share in cash.

Listed health, beauty and pharmacy retailer New Clicks Holdings has reported a 13,3% decline in its diluted headline earnings per share from all operations for the year to the end of August 2005, to 63,2 cents from 72,9 cents a year earlier. The company described its results as "disappointing".

Anglo American, one of the world’s largest mining groups, plans to reduce its shareholding in gold miner AngloGold Ashanti in order to give it more flexibility to pursue its own strategic agenda, the company said on Wednesday. It may also opt to establish pulp and paper group Mondi as an independent business.

Listed clothing and homeware retailer Foschini will open its very first @home livingspace store on Thursday, a larger-format version of its @home chain offering an expanded range of home decor and furniture. The first @home livingspace store will open in the new Willowbridge shopping centre in Tygervalley, Cape Town.

South African Reserve Bank Governor Tito Mboweni has cautioned that the long period of lower interest rates (monetary policy accommodation) may be coming to an end, despite the current level of inflation being within the target range. He was addressing Parliament’s portfolio committee on finance on Friday.

Swedish insurer Skandia, the target of a R38-billion takeover bid by South Africa- and United Kingdom-listed financial-services group Old Mutual, on Wednesday unveiled to shareholders details of a plan that would allow it to remain independent. It also gave hard-hitting reasons why shareholders should reject the Old Mutual offer.

The wage strike at retail chain Clicks, owned by listed health and beauty group New Clicks Holdings, continued on Tuesday with Clicks management and members of the South African Commercial, Catering and Allied Workers’ Union finally going into mediation as the stayaway entered its 12th day.

Listed food retailer Pick ‘n Pay has reported a 16,7% rise in its headline earnings per share for the six months to the end of August 2005 to 55,31 cents from 47,41 cents a year earlier. The company declared an interim dividend up 17,7% to 23,3 cents per share, compared with the 19,8 cents declared at the interim stage in 2005.

Old Mutual, the United Kingdom- and South Africa-listed international financial-services group, has published the prospectus for its 43,5-billion Swedish kronor (R38-billion) offer for Swedish financial-services group Skandia, Old Mutual announced on Wednesday.

United Kingdom- and South Africa-listed SABMiller plc has completed its $7,8-billion acquisition of a controlling 71,8% interest in Bavaria SA, South America’s second-largest brewer, the company announced on Wednesday. The merger creates the world’s second-largest brewing company by volume.

The chairperson of Skandia Insurance, Bernt Magnusson, has decided to resign from the company’s board due to differences of opinion with fellow board members about Old Mutual’s bid for the firm, AFX reported from Stockholm on Friday. The board of the Swedish insurer was split over the R38-billion bid from Old Mutual.

According to the latest Absa house-price index, nominal house prices rose by 17,6% year-on-year in September, versus a revised 19,6% in August, the lowest year-on-year growth since December 2002, when it was 17,3%. On a month-on-month basis, nominal growth in house prices was 0,6% in September.

Listed diversified black economic empowerment (BEE) company Mvelaphanda Group (Mvela) will acquire a further effective 2,47% stake in banking group Absa, the company said on Wednesday. This follows an agreement with Mvelaphanda Holdings and BEE group Batho Bonke.

The Fourth National Swedish Pension Fund said on Tuesday it will reject the R38-billion offer by South African insurer Old Mutual to purchase Skandia Insurance Company, making it the second state pension fund to do so after Skandia’s board would not recommend the offer the shareholders.

South Africa’s wine drinkers will soon have the choice of imbibing their favourite wines out of a can for the first time, as Australian group Barokes introduces its patented canned-wine technology to the country. The group is currently in negotiations with several major wineries and wine regions in South Africa.