Here’s what caught our attention on Thursday:
1. A rough start for Sapo
The South African Post Office, which is taking over the distribution of social grants to some 5.2 million beneficiaries, was met with a rocky start in July. The state-owned entity’s systems failed from July 1, which left some beneficiaries empty-handed. The Sapo is due to officially take over the distribution of grants from September, but says that they cannot guarantee that the road from now till then will be thoroughly smooth, as they are still trying to iron out the creases of the transition.
2. Angloplat sells stake in Rasimone JV to RBplat for R1.8bn
Anglo American Platinum has announced that it accepts the offer from RBPlat to purchase its 33% interest in the Bafokeng Rasimone Platinum Mine for a total purchase consideration of R1.863 billion. The announcement was made via Sens on Thursday.
3. Nedbank gets the thumbs up from S&P
Standard & Poor’s Global Ratings Agency has been in the business of handing out good ratings to South African companies recently (go SA!). This time it’s for Nedbank. The national scale rating of the bank has been upgraded to zaAA+ from zaAA. This past week, S&P improved the ratings of PPC, African Bank and Capitec Bank.
4. Edcon plans to shut down chains in recovery plan
As part of a recovery plan, Edcon plans to shut down chain stores, including Red Square cosmetics and La Senza lingerie. At the same time it plans to lure its customer base to Edgars stores. Bloomberg is reporting that amid its struggles to stay afloat, Edcon will reduce its 1 300- store footprint and cut floor space by 17% over five years to boost profitability.
5. CompComm to release report on healthcare sector
The Competition Commission will finally be releasing the provisional findings and recommendations of the Health Market Inquiry on Thursday, after four and a half years.
Update to follow.