European banking leader HSBC Holdings PLC (NYSE ADR: HBC) yesterday (Monday) announced it's in talks to gain a controlling stake of South Africa's Nedbank Group Ltd. (PINK ADR: NDBKY). The acquisition would expand HSBC's presence in Africa's trade growing financing market.
Europe's largest bank aims to gain 70% of Nedbank's shares and plans to bid on insurer Old Mutual PLC's (PINK ADR: ODMTY) 52% stake, worth $7 billion. Nedbank is South Africa's fourth largest bank and focuses on commercial banking services, operating in 33 African countries.
The hot pursuit of South Africa's banking industry is fueled by the rapid trade growth the country is experiencing with Asia - especially China.
South Africa
Article Index
HSBC Pursues South African Bank to Claim Key Spot in African Trade Financing
The CIVETS: Windfall Wealth From the 'New' BRIC Economies
Forget the BRICs. There's a brand new set of emerging market economies set to make investors windfall profits... but only if you know which ones to pick - and which to avoid completely! Read on to find out which new emerging market is worthy of your investing dollar...
South Africa Takes Aim at Both Short and Long-Term Goals with World Cup Bid
Not everyone cheered when South Africa was awarded the 2010 World Cup. Skeptics cited security concerns and poor infrastructure as potential pitfalls for the young democracy.
But now a month before kickoff, South Africa is set to silence its critics. The country has put the requisite work into launching the event and is poised to deliver on one of the world's grandest stages.
Just as the 2008 Olympics in Beijing shone a spotlight on China, this event will serve as a vibrant demonstration that South Africa, more than any other African nation, has arrived.
"Some people were saying it was a stupid decision to organize the World Cup in South Africa," Jerome Valcke, secretary-general of FIFA, told the Financial Times. "We will show the world that it was the right decision to organize the World Cup in South Africa and South Africa was able to provide, not only to FIFA but the world, with the best organization possible."
Better, even, than Germany provided as host in 2006, he claims. That's setting the bar awfully high, considering the 2006 World Cup was a resounding success.
But now a month before kickoff, South Africa is set to silence its critics. The country has put the requisite work into launching the event and is poised to deliver on one of the world's grandest stages.
Just as the 2008 Olympics in Beijing shone a spotlight on China, this event will serve as a vibrant demonstration that South Africa, more than any other African nation, has arrived.
"Some people were saying it was a stupid decision to organize the World Cup in South Africa," Jerome Valcke, secretary-general of FIFA, told the Financial Times. "We will show the world that it was the right decision to organize the World Cup in South Africa and South Africa was able to provide, not only to FIFA but the world, with the best organization possible."
Better, even, than Germany provided as host in 2006, he claims. That's setting the bar awfully high, considering the 2006 World Cup was a resounding success.
The Winners and Losers in the 'Commodities New World Order'
In the "commodities new world order," commodity producers will be king.
Investors who need proof need only consider recent events. Iron ore prices are at record levels, and the annual-price-setting arrangement has broken down. Venezuela President Hugo Chávez has signed "dark side" agreements with Russian Prime Minister Vladimir Putin for Russian companies to develop Venezuela's oil-and-mineral resources. China may have invested $1 trillion or so in U.S. Treasuries, but the Asian giant's only truly successful investment so far has been the 17% stake it took in Canadian-resources player Teck Resources Ltd. (NYSE: TCK).
Welcome to the commodities new world order. These events serve notice that - as we put the global financial crisis behind us - the commodity "haves" will set the agenda ... while the commodity "have nots" will fall farther and farther behind.
Investors who need proof need only consider recent events. Iron ore prices are at record levels, and the annual-price-setting arrangement has broken down. Venezuela President Hugo Chávez has signed "dark side" agreements with Russian Prime Minister Vladimir Putin for Russian companies to develop Venezuela's oil-and-mineral resources. China may have invested $1 trillion or so in U.S. Treasuries, but the Asian giant's only truly successful investment so far has been the 17% stake it took in Canadian-resources player Teck Resources Ltd. (NYSE: TCK).
Welcome to the commodities new world order. These events serve notice that - as we put the global financial crisis behind us - the commodity "haves" will set the agenda ... while the commodity "have nots" will fall farther and farther behind.
To discover the identities of the new-world-order winners – and losers – please read on...
The Scramble for Africa: Profiting From World's Largest Cache of Commodities
In the quarter century stretching from the late-1880s to the First World War, there was a mad rush by the world's leading powers to occupy and annex African territory. Now, 100 years later, the world's elite again are scrambling to make their respective marks on the continent.
The methods of extraction have changed, but the end goal remains the same - to gain access to Africa's coveted bounty of commodities.
Most notably, Chinese interests have swarmed Africa, constructing roads, rail lines, municipal buildings, schools, ports, and pipelines in exchange for access to natural resources.
The methods of extraction have changed, but the end goal remains the same - to gain access to Africa's coveted bounty of commodities.
Most notably, Chinese interests have swarmed Africa, constructing roads, rail lines, municipal buildings, schools, ports, and pipelines in exchange for access to natural resources.
Despite Economic Challenges, Investors See Profit Potential in South Africa
By Mike Caggeso Associate Editor The latest news out of South Africa is that its economy grew an "unexpected" 5.3% in the fourth quarter. Perhaps what perplexed economists about the country's growth last quarter [and last year] is the wealth of negative economic news coming out of South Africa. For instance, consider these challenges: National […]
Platinum Hits Another Record High as South Africa Shorts Supply
By Jason Simpkins Associate Editor As the market continues to struggle, gold and platinum have been proving their worth as investment hedges. The price of platinum extended its record run yesterday [Thursday], climbing to $1,851.50 an ounce in early morning trading in London, Thomson Financial reported. It stood at $1,841, up $22 at 11:00 a.m. […]
Harmony Appoints Graham Briggs as New CEO; Gold Moves to Make Now
By Mike Caggeso Associate Editor After three months of interviewing dozens of candidates, board members of Harmony Gold Mining Co. (HMY) have unanimously elected Graham Briggs as the South African miner's chief executive officer. The arduous selection process began in October when a four-person selection panel tapped an executive search company to help find the […]
South African Miners Strike, Platinum Spikes
Platinum futures spiked to $1,466 an ounce yesterday [Tuesday] as 270,000 South African miners declared a one-day strike protesting the safety record of the country's mining companies. Leaders from the National Union of Mineworkers (NUM) estimated 40,000 members marched in front of the Johannesburg Chamber of Mines, CNN reports. Nearly one miner dies every day […]
South Africa's 4.7% 3Q Economic Growth Raises Questions About the Country's Prospects
By Mike Caggeso Associate Editor South Africa's economy grew at an unexpectedly brisk 4.7% clip in the third quarter, driven by a 12.5% growth in the finance, real estate and business service industries from last year, a detailed report from Statistics South Africa said yesterday (Tuesday). The economy's third quarter performance was a marked improvement […]