Here’s what caught our attention on Friday:
1. Group Five announces restructuring plans
Construction company Group Five says that it has plans to restructure the company, by cutting construction activity and selling major stakes in its construction business. The company reported a core operating loss of R727.3 million for the half-year ended December 31 2017.
2. SAA names head interim CFO
Embattled state-owned entity South African Airways has appointed a new interim chief financial officer, Bob Head, as part of its turnaround strategy. Hendus Venter has been appointed chief information officer as of May, Bloomberg reported.
3. SA is not ready for wealth tax
The Davis Tax Committee released a report which indicated that wealth tax is not a feasible option for South Africa yet. The committee said that South Africa’s tax system needed to address wealth inequality and that government needed to do more research before it decide whether to impose a wealth tax or not, Business Day reported.
4. The rand’s performance
As a war looms between the US and Russia over highly-conflicted Syria, the rand weakened against the dollar on Thursday. The rand ended the day on Thursday around the 12.05 mark. On Friday morning, the currency had strengthened slightly, as Chinese trade data eased the uncertainty over the global economy. By 11:09 the rand was flat at 12.o5.
5. Deloitte and Irba hearing
Moneyweb reported that auditing firm Deloitte has allegedly failed to disclose minor transgressions in its audit of African Bank, which collapsed four years ago. The Independent Regulatory Board for Auditors (Irba) is leading the disciplinary hearing of Deloitte. The firm will answer to Irba on why it granted African Bank a going concern status and for giving unqualified reports on its financial statements.