Breaking News

Standard Chartered eyes more Zimbabwe private equity deals

by Business reporter
19 February 2013 | 2118 Views
Standard Chartered's private equity arm is looking for more deals in Zimbabwe, a senior executive told Reuters on Monday, betting on a rise in consumer spending after years of hyperinflation.




The British bank, whose private equity business has assets under management of about $4.5 billion, made an investment in Zimbabwean agri-business Ariston Holdings through one of its portfolio companies, Afrifresh Group, last year.

The transaction was worth around $20 million. Ariston was previously listed on the Zimbabwe Stock Exchange.

Despite concerns about political risk ahead of general elections later this year, the bank sees potential for high returns in a country that is "starved for growth capital" after being weakened by hyperinflation, said Peter Baird, Standard Chartered's head of private equity for Africa.

"Standard Chartered Bank loves Zimbabwe and our appetite for equity risk in Zimbabwe is high," he said, listing real estate, consumer goods and retail as the most attractive sectors.

Zimbabwe's long-serving president Robert Mugabe, who formed a power-sharing government with rival Morgan Tsvangirai after a disputed 2008 vote, has set March 16 as the date for a referendum on a proposed new constitution.

A general election is expected later in the year.

Baird acknowledged there could be risks attached to the election, but said so far Standard Chartered's dealings with the government, for example over Ariston, had been relatively smooth.

"They were very reasonable about the indigenisation plan (to increase local ownership of businesses) that we filed ... they were very reasonable about the perception of commercial agriculture being in foreign hands," he said.

The private equity team also wants to be an early mover in a country that boasts a well-educated, English-speaking population, as well as a functioning banking system and capital markets, Baird added.

"Given the right policy framework and the right set of circumstances Zimbabwe will do just great," he said.

Standard Chartered Private Equity has invested around $550 million in Africa since 2008, with about half last year alone.

It was also a co-investor with Carlyle Group LP (CG.O) and South African private equity fund Pembani Remgro Infrastructure Fund in pan-African agribusiness Export Trading Group, a deal announced in November.

Baird was less bullish about the private equity team's investment prospects for Africa as a whole in 2013 given the difficulty of finding companies of the right size and the reluctance of some family-owned businesses to sell equity.

Standard Chartered

Source: Reuters

Comments

Latest News

Quotable quotes on Zanu PF #MillionManMarch

by Staff reporter | 25 May 2016 | 919 Views

Mugabe claims Zimbabweans are 'angry' at talk of him retiring

by Staff reporter | 25 May 2016 | 976 Views

Zanu-PF's million march, a spectacular flop - claims MDC-T

by Obert Chaurura Gutu | 25 May 2016 | 1585 Views

Mugabe's show of force

by Agencies | 25 May 2016 | 2015 Views

Sarah Mahoka 'gives' Zanu-PF men permission to rape women - Listen to ...

by Staff Reporter | 25 May 2016 | 3532 Views

WATCH: Man undresses, feeds himself to lions

by online | 25 May 2016 | 3191 Views

WATCH: China unveils bus that can drive over the TOP of other cars

by Staff reporter | 25 May 2016 | 4564 Views

Border Strikers finally scores and win, Caps United plucks Chicken Inn...

by Staff reporter | 25 May 2016 | 2692 Views

POEM: Africa, our land - A land of peace loving and united people,Who ...

by Wilson Chipangura | 25 May 2016 | 834 Views

'Factionalist are trading on treasonous territory,' says Mugabe - Pres...

by Thobekile Zhou | 25 May 2016 | 2309 Views

Mtukudzi attacked by MDC-T for singing for Mugabe

by Thobekile Zhou | 25 May 2016 | 5177 Views

Sangoma's wife killed for helping taxi drivers

by Staff Reporter | 25 May 2016 | 2439 Views

Ministers disrespect Mugabe - Zanu PF youth

by Thobekile Zhou | 25 May 2016 | 2675 Views

Zanu-PF youth want Harare airport named after Mugabe - ZANU PF Youth l...

by Staff reporter | 25 May 2016 | 1223 Views

Zimbabwe should not panic over my illness - Tsvangirai

by Thobekile Zhou | 25 May 2016 | 2641 Views

Tsvangirai's statement to the people of Zimbabwe

by Morgan R Tsvangirai | 25 May 2016 | 2459 Views

WATCH: Live streaming of million man match

by youtube | 25 May 2016 | 4048 Views

LIVE: Million-Man March

by Staff reporter | 25 May 2016 | 2697 Views

One Million Man March in pictures

by Thobekile Zhou | 25 May 2016 | 3534 Views

Zanu PF members fight for t-shirts - pictures

by Thobekile Zhou | 25 May 2016 | 4369 Views

Mugabe sneaks back into the country - THERE was neither a rally nor th...

by Staff reporter | 25 May 2016 | 2951 Views

Zanu PF grabs school buses for million man march

by Staff reporter | 25 May 2016 | 2578 Views

Swallow a balloon to lose weight, say experts

by Digestive Disease Week® (DDW) | 25 May 2016 | 2166 Views

Am not gunning for presidency, says Banana - THE son of first Presiden...

by Thobekile Zhou | 25 May 2016 | 2287 Views

Africa has been stabbed in the back by its rogue leaders - Africa is a...

by Tendai Ruben Mbofana | 25 May 2016 | 1563 Views

Entertainment

Zimbabwe-born Olivier excels in SA music contest - Zimbabwe-born Jerem...

by Staff reporter | 25 May 2016 | 1143 Views

After Flashbacks and Setbacks press brief - A EDZAI ISU Theatre Arts P...

by Staff Reporter | 25 May 2016 | 307 Views

Gringo turns to music - "I am an artiste and have passion for acting. ...

by Sophia Chese-Msowa | 25 May 2016 | 1248 Views

Dj Zinhle dying to be in Bulawayo

by Thobekile Zhou | 24 May 2016 | 2369 Views

How Oskido fell in love with Kwaito - SOUTH African music mogul Oscar ...

by Bongani Ndlovu | 24 May 2016 | 1927 Views

Gospel divas upbeat ahead of Malope show - LOCAL performers billed for...

by Nhlalwenhle Ngwenya | 24 May 2016 | 1497 Views
iBlog

What To Look For In Video Converter Software

looking for the best video converter software? you have to compare different video converters before making a purchase.the ability to watch video on different types of devices is a wonderful thing. not so wonderful are the compatibility issues that ... Read More
Sergey 19 June 2015 ago

Samsung Gear Vr Innovator Edition For S6: The Perfect Vr Intro For Professionals

we're drenched in talk about the impending wave of consumer-facing vr headsets about to hit the market, starting at the end of 2015. by contrast, you can walk into a best buy right now and pick up the samsung gear vr innovator edition for the galax... Read More
Sergey 20 June 2015 ago