Breaking News

Standard Chartered eyes more Zimbabwe private equity deals

by Business reporter
19 February 2013 | 2744 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

Could there be war if Grace Mugabe becomes President?

Yes
75.47%
No
9.91%
Who cares?
14.62%
212

Comments

Latest Classifieds (Click Here For More)

News Updates

Email:

Latest News

BREAKING: Cops in riot gear chase people from Africa Unity Square

by Concerned Citizen | 22 October 2014 | 710 Views

Dr Grace Mugabe's tours breathes hope

by Tawanda Museve | 22 October 2014 | 698 Views

Matebeleland pressure group - cum political party takes Zanu PF war to...

by Tongai Zwayisa | 22 October 2014 | 618 Views

Power cuts disrupt Sadc conference in Vic Falls

by Staff Reporter | 22 October 2014 | 494 Views

Ebola vaccine trials in West Africa by January says WHO

by Staff Reporter | 22 October 2014 | 377 Views

Zimbabwean woman and her 3 children die in horrific car crash in Austr...

by Staff Reporter | 22 October 2014 | 886 Views

Hail Dr Grace Mugabe

by Tawanda Museve | 22 October 2014 | 1570 Views

Wednesday chat with Auntie Noe - Love and Jealousy

by Nobuhle Virgie | 22 October 2014 | 843 Views

Zim High Court refuses to impose death penalty

by Staff reporter | 22 October 2014 | 853 Views

BCC invites nominations for 'City Legends' - The city of Bulawayo has ...

by Staff reporter | 22 October 2014 | 682 Views

Will Mugabe reprimand his 'big headed' wife?

by Staff reporter | 22 October 2014 | 2231 Views

Cheeky granny (73) kills hubby (77) with bare hands - BULAWAYO - HELL ...

by Staff reporter | 22 October 2014 | 1333 Views

Air Zimbabwe to re-introduce flights to Masvingo - Struggling state-ow...

by Staff Reporter | 22 October 2014 | 820 Views

Man, son-in-law exchange blows over 50 cents - A SCUFFLE between a ma...

by Thubelihle Mabhena | 22 October 2014 | 1152 Views

Mugabe backs Catholics' 'no gay' stance

by Staff reporter | 22 October 2014 | 822 Views

'Evil' granny hires 'sniper' to poison grandson over inheritance - PLU...

by Court reporter | 22 October 2014 | 1102 Views

Why T.B. Joshua's church collapse actually convinced me he is a genuin...

by Johnson Abayomi | 22 October 2014 | 1639 Views

Mujuru incinerated over U.S government and United Nations links (Part 1)

by Itai Mushekwe/ Nancy Mabaya/ Mary-Kate Kahari | 22 October 2014 | 2727 Views

Ngidinga abantwana bomfowethu obesebenza koWankie Express Buses WhatsA...

by Concerned Uncle | 22 October 2014 | 583 Views

NK Ndlovu pulls out of VP race, backs Mphoko - Zanu-PF Politburo membe...

by Staff reporter | 22 October 2014 | 1041 Views

Simba Makoni accusses Mugabe's family of 'turning' Zim into Gushungo d...

by Staff Reporter | 22 October 2014 | 1979 Views

Top cop freed after 9 months jail term

by Court reporter | 22 October 2014 | 1418 Views

Telecel boss Dr Makamba faces axe

by Court Reporter | 22 October 2014 | 1591 Views

Grace Mugabe refuses to shake Mujuru's hand on return from Rome

by Staff Reporter | 22 October 2014 | 3820 Views

HIV+ couple slapped with 39 months jail term for abortion - AN HIV-pos...

by Court reporter | 22 October 2014 | 1008 Views

Zim female boxer Sibanda bounces back - RING-STARVED Zimbabwean female...

by Sports Reporter | 22 October 2014 | 493 Views

Female cop in hot soup for extorting $5 000 - HARARE - A 40-year-old p...

by Court reporter | 22 October 2014 | 1332 Views

Kombi driver loses testicles in tussle over $1 - HARARE - A COMMUTER o...

by Court reporter | 22 October 2014 | 1536 Views

Entertainment

Zim representative in the Big Brother Africa survives eviction - Zimba...

by Staff reporter | 20 October 2014 | 2043 Views

Grace Mugabe's political comedy takes ZTV hostage - For the past two w...

by Staff reporter | 20 October 2014 | 4276 Views

Oliver Mtukudzi to deliver lecture at Musica 2014 - Zimbabwe's interna...

by Staff reporter | 19 October 2014 | 1180 Views

Gezha maoko - Ladybee (Official Video)

by Staff Reporter | 19 October 2014 | 2035 Views

Matebeleland Music & Arts Festival - Sivala umnyaka ngengoma lapho sit...

by Staff Reporter | 17 October 2014 | 1572 Views

Obediah Matulana releases Christmas DVD - Bulawayo-based musician Obed...

by Staff reporter | 16 October 2014 | 1793 Views

Grace Mugabe honoured in song - Dancehall outfit Final Warning has rel...

by Tawanda Marwizi | 15 October 2014 | 2253 Views

US firm makes money off Zimbabwe concept - United States transport sh...

by Staff reporter | 14 October 2014 | 2832 Views
iBlog

Protect Your Greatest Small Business Asset: Time

if your work week is way more than 40 hours, your smartphone is glued to your hand, and your to-do list is multiple pages of overdue tasks—you know how valuable every minute of your time is.your smartphone and tablet make doing business from anyw... Read More
Sergey 05 September 2014 ago

Obviously, Windows Xp Has Nothing More To Offer

With no support from the manufacturer, windows xp no longer receives antivirus updates, which provoked an increase in the number of attacks on xp users. according to avast company, windows xp systems are attacked 6 times more often than the devices r... Read More
Sergey 12 June 2014 ago