Breaking News

Standard Chartered eyes more Zimbabwe private equity deals

by Business reporter
19 February 2013 | 2099 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

Togolese president arrives in for ZITF opening - Togolese President Fa...

by Staff Reporter | 28 April 2016 | 492 Views

Zim musicians come together in bid to get airplay in own country - If ...

by Staff Reporter | 28 April 2016 | 518 Views

Arthur Molife to boost ZAPU's financial standing - Mr Molife has an am...

by Thulani Nkala | 28 April 2016 | 993 Views

Chamboko, MDC-T mythical 'huge following' is as relevant as granny's l...

by Patrick Guramatunhu | 28 April 2016 | 680 Views

MLF urged government to stop demonising children with national pledge

by Stephen Jakes | 28 April 2016 | 1398 Views

Tsvangirai should join coalition at own peril - There was much hullab...

by Paidamoyo Chaitezvi | 28 April 2016 | 1963 Views

Kuwait women saga exposes government irresponsibility - PDP - The reve...

by Evelyn Masaiti, PDP Women’s Assembly Chairperson | 28 April 2016 | 1135 Views

MDC attack Government over stranded 32 females in Kuwait - Opposition ...

by Thobekile Zhou | 28 April 2016 | 1547 Views

Sanctions on Zim: US ambassador reading from the hardcover - The Unite...

by Mukachana Hanyani | 28 April 2016 | 1673 Views

Zhanda blasts 'careless' Matabeleland cattle owners

by Thobekile Zhou | 28 April 2016 | 2144 Views

Zimbabwe target BRICS for investment - Government is targeting at attr...

by Thobekile Zhou | 28 April 2016 | 1020 Views

MDC-T fuels corruption in local authorities - The move taken by the MD...

by John Mukumbo | 28 April 2016 | 1189 Views

Govt to reposes idle land - Lands Minister Douglas Mombeshora has agai...

by Thobekile Zhou | 28 April 2016 | 1874 Views

Foot and mouth block cattle exhibition at ZITF - Bulawayo Show Society...

by Thobekile Zhou | 28 April 2016 | 870 Views

Watch: Man boxes son for leaving school - The father of a 17-year-old...

by Staff Reporter | 28 April 2016 | 2576 Views

Tsvangirai prepares sucker punch for Mugabe - The Morgan Tsvangirai-le...

by Staff reporter | 28 April 2016 | 2484 Views

Youths tell war veterans to 'Shut up' - The bad blood between war vete...

by Staff reporter | 28 April 2016 | 1954 Views

'Zimbabwe roadblocks scare tourists' - Police roadblocks in Zimbabwe a...

by Staff reporter | 28 April 2016 | 1977 Views

Fake Bona Mugabe birth video goes on sale - President Robert Mugabe's ...

by Staff reporter | 28 April 2016 | 4405 Views

State agents harassing 'Missing Diamonds, I Need My Share' producer - ...

by Staff Reporter | 28 April 2016 | 2066 Views

Despite the discord, coalition is Zimbabwe's only hope - "I would rat...

by Moses Chamboko | 28 April 2016 | 1241 Views

The IMF cannot save Zimbabweans

by Vince Musewe | 28 April 2016 | 1390 Views

Mujuru ally in tender scam - Dzikamai Mavhaire Former Energy minister,...

by Staff reporter | 28 April 2016 | 1800 Views

Break in at Lumumba's house - Zanu-PF factional fights have turned nas...

by Staff reporter | 28 April 2016 | 2155 Views

Zanu-PF youths cause havoc at Mliswa Press Conference - Rowdy Zanu-PF ...

by Staff reporter | 28 April 2016 | 1326 Views

More stress for Mugabe as 'mujibas' demand struggle benefits - Angry a...

by Staff reporter | 28 April 2016 | 2134 Views

Econet introduces Ecocash airtime credit service - Econet Wireless Zim...

by Staff reporter | 28 April 2016 | 2352 Views

Government to sell seized gold worth $300 000

by Staff Reporter | 28 April 2016 | 1426 Views

Kasukuwere to evict Tsvangirai soon

by Staff Reporter | 28 April 2016 | 3811 Views

Moyo in another blunder - As Peter Moyo's unprofessional conduct in sh...

by Godwin Muzari | 28 April 2016 | 3263 Views

Entertainment

Busi Mhlanga flies Zimbabwe higher in foreign land - UK based singer S...

by Mafu Sithabile | 29 April 2016 | 71 Views

Bev, Zoey unite - Pole dancers Zoey Noleen Sifelani and Beverly Siband...

by Staff reporter | 28 April 2016 | 957 Views

Peter Moyo dumps fans, opts to sing at Magaya's church

by Staff Reporter | 28 April 2016 | 1831 Views

I belong to Africa, says Dorothy Masuka - DESPITE being a darling of m...

by Bruce Ndlovu | 28 April 2016 | 1159 Views

Hip-hop artistes salute Mugabe's son - Budding hip-hop artistes Panash...

by Staff reporter | 28 April 2016 | 1170 Views

Popular comedian Madlela releases 'comic' music album

by Divine Dube | 27 April 2016 | 1779 Views

Tau bounces back to Generations - Generations: The Legacy lead actor R...

by Staff reporter | 27 April 2016 | 2934 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