Stocks in South Africa gained for the fourth straight session on Thursday as Advtech hit an all-time high after the firm received a buyout proposal.
Shares in Advtech, South Africa’s second-biggest private education firm, jumped nearly 16% to R12.75 by 1033 GMT, but pulled back to close 4.54% higher at R11.52.
The firm said on Thursday it had received a buyout proposal from a third party that its board was obliged to consider.
“There is a huge demand for quality education in South Africa…Any indication of an acquisition will excite the market and maybe create a Curro-type company,” said Nolan Macnamara, derivatives trader at Nedbank Private Wealth Stockbrokers, referring to the biggest private school firm in Africa.
The market leader in private schools, Curro was also up 1.16% to R33.89.
The share price of diversified miner Exxaro recovered from early trade lows and inched up 0.02% to R89.50.
Exxaro shares were down 1.20% at 0750 GMT after the company said its expenditure for the first half of 2015 was now expected to be R3.1 billion ($256 million), down 11% from its previous guidance in the face of depressed prices.
The Top 40 Index climbed 0.06% 47,259.66 points and the All Share Index gained 0.14% to close at 52,856.39 points.
Iron ore producer Assore fell 2.36% to R107, after it said it had bought out African Rainbow Mineral’s 50% stake in the country’s Dwarsriver chrome mine for R450 million to take full ownership.
It was a robust day on the bourse with 235 million shares changing hands, above last year’s daily average of 183 million.