$2.3 bln for control of Massmart
JOHANNESBURG? - Wal-Mart is to pay $2.3 billion for control of Massmart, giving the world's largest retailer a substantial presence in South Africa and paving the way for further expansion across the continent.
The Wal-Mart tie-up will help discount retailer Massmart speed up expansion in sub-Saharan Africa and increase its food retailing business, the South African company's chief executive said on Monday.
The deal will also likely pit Wal-Mart, which has long battled with organised labour in the United States, against South Africa's powerful trade unions, some of which have threatened to strike against the U.S. giant.
Massmart's chief executive, Grant Pattison, said the company would retain its local listing and South African management after the deal. Analysts have said local expertise would be critical to avoid a bruising union fight.
"What isn't going to happen is a bunch of Wal-Mart people around here start running the company," Pattison said on a conference call with reporters.
"South African management will continue to manage the business."
The two companies said in a joint statement Wal-Mart would pay 148 rand for a 51 percent stake in the South African company, which has a presence in 14 countries in Africa. The value of the deal is 16.5 billion rand, Massmart executives said.
Massmart shares were up 0.2 percent at 142 rand at 1345 GMT. Wal-Mart's bid, including the price, was first announced in September.
(Reuters)
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Nandos riding the Cell C wave
Cell C?s marketing campaign has become a talking point in South Africa, and Nandos has now launched their own tongue-in-cheek advertisements poking fun at the Cell C campaign.
The Nandos advertisements features a Trevor Noah type character, but instead of Noah ?watching Cell C like a hawk? the Nandos character says that "I?m watching you Nandos. Like a chicken."
The Nandos advertisements further play on the term 4Gs with their 5Gs, which stands for ?5 Great Sauces? ? Mediterranean, Lemon and Herb, Mild, Hot and Extra Hot.
The Nandos campaign will kick off in full force this weekend with television, radio, print and in-store advertising.
Cell C responded to Nando?s copycat ad campaign by sending both the Nandos CEO and Nandos Marketing Director speed sticks (their HSPA+ USB dongles with data included), adding that they hope that Nandos will launch a ?fastest chicken? meal in future.
?Nando?s campaign gave us a real chuckle, we love the ads and it?s great to know that our initial campaign is inspiring creativity in other companies,? commented Reichelt.? ?I trust that the Nando?s executives will enjoy their new super-fast internet connection and that they will consider adding 'Speedchicken' to their menu.
Following on with another new definition for CEO, Nando's has appointed its first Chicken Excellence Officer, Kagiso Lediga, who is on-board to promote its new 5Gs offering of five great sauces. The 'CEO' is in all its latest ads, which take a gentle poke at Cell C. [video]
Appreciating the humour, Cell C's CEO, Lars P. Reichelt is arranging for the delivery of two of its new 21.6 Mbps USB speedsticks with 60 GB of data to the marketing director and CEO of Nando's following the fast-food operator's flighting of several advertisements parodying Cell C's advertising campaign around its new network offering.
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Agliotti: ‘I sleep very well at night’
Drug dealer Glenn Agliotti was a confident man on Friday morning, as he laughed and joked at a press conference in Johannesburg. It had been less than 24 hours since Agliotti was declared a free man, after charges against him for the murder of mining magnate Brett Kebble were withdrawn in the South Gauteng High Court on Thursday.
He said he had no moral culpability in Kebble's death, because he "had no role to play". "I sleep very well at night," he said.
He insisted there was a hidden agenda behind his prosecution. "I made it very clear that this was a political conspiracy," he said. "I should never have been in the box ... I think we have to focus on how this all originated. I've been called many things. I was painted this way by the DSO [Scorpions].
'Plea-bargain deal'
He said he believed that Clinton Nassif, the former head of security for the Kebbles, was the man who should be tried for Kebble's murder. "Nassif wanted to cut a 105 plea-bargain deal. It was clear."
Agliotti said that he had not spoken to the Kebble family, and had no reason to apologise to them. A reporter then played a recorded question by Guy Kebble, Brett's brother, asking why Agliotti had never bothered to make contact with the Kebbles, he responded: "My wife tried to contact Roger [Brett's father] but it was clear they wanted nothing to do with me. Guy must ask himself how much he's cost his father in botched business deals. Roger was fed a lot of misinformation by the Scorpions."
He said that Guy Kebble had sat behind him in the courtroom, and had swore at him and made "defamatory statements" during the trial proceedings.
Agliotti also said he felt the state had not been properly prepared, while his defence had been. Obviously filled with self-pity, he asked: "where's Paul Stemmet? Where's Tamo Vink [Nassif's attorney]? Everyone has a go at me but what about them?
He "invited" the National Prosecuting Authority to prosecute him for corrupting former police national commissioner Jackie Selebi. Agliotti was not granted indemnity from prosecution in the trial that saw Selebi sentenced to 15 years in prison for corruption. "I'm not at all stressed out," he said. He added he had not spoken to Selebi since he had been incarcerated for a month in the Sandton police station cells in late 2008.
"I don't believe he was handled in the right manner. There was a conspiracy. It was an absolute travesty of justice."
ILHAM RAWOOT
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Rand weaker against Dollar
JOHANNESBURG? - South Africa's rand was trading on the back foot against the dollar on Friday, holding around a key support level in what was expected to be a quiet session.
Stock futures pointed to a slightly lower open on the bourse, with the JSE's blue chip Top-40 December futures contract down 0.25 percent before the start of trade at 0700 GMT.
The rand has support around 7.085, a low tested in late October and mid September.
Traders see two consecutive closes above 7.05 would be confirmation of a true break of the support, opening up 7.10/7.12 as the next key level.
By 0637 GMT, the local currency was trading at 7.0825 to the dollar, 0.68 percent weaker compared with its close of 7.0350 on Thursday.
"The rand seems to have stabilised round about the 7.05 levels, I think under a bit of pressure still as a result of the dollar that's strengthened against the euro," said Craig Zaayman, managing director at Purple Capital Treasury.
"I reckon during the day we can target a 7.05 level with a bias to weaken."
The dealer added rand volatility during the week had been driven by local factors such as weak GDP data and government proposals to boost growth. However the market was now taking cues from the euro/dollar movements focused on the euro zone debt issue.
Dealers expect a thin trading session with the U.S. market open for only half the day after a full day off on Thursday. The local calendar is empty until Monday when credit numbers are due.
(Reuters)
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Agliotti is cleared of Kebble’s killing
Judge Frans Kgomo acquitted Agliotti on charges of murder and conspiracy to murder, saying the state had failed to prove its case against him.
"I'm angry and relieved at the same time, it's been a long long time and I just want to be with my family," Agliotti said afterwards.
Asked if he planned to take legal action against the National Prosecuting Authority, he said: "We haven't discussed that, this is still too fresh, but we will be discussing it. I'm angry for what they put me through."
Kebble, a mining magnate, was shot dead while driving to a dinner meeting in Melrose in 2005.
The three men who killed him - Nigel McGurk, Faizel Smith and Michael Schultz - and later turned state witnesses, all testified that the killing was an assisted suicide.
They said Kebble wanted to die because he was in trouble with the law.
The judge described their testimonies as "a rendition from the Mafia, only this was real life".
Agliotti's defence had throughout the trial maintained his innocence, saying he was being used to secure a conviction against former police commissioner Jackie Selebi.
Asked how he felt about the outcome, Selebi declined to comment. But his lawyer Wynanda Coetzee said they had expected the outcome.
Judge Kgomo made a dramatic statement that the trial was about corrupt civil servants and politicians who wined and dined with devils under cover of darkness.
He then accepted the evidence of McGurk, Smith and Schultz, granting them indemnity against prosecution for their parts in the murder.
However, he said he was not satisfied with the mastermind and Kebble's former security head Clinton Nassif's evidence.
NPA spokesperson Mthunzi Mhaga said they had noted the judgment and would reflect on issues raised by the judge.
related article Agliotti ?wrong man in wrong box?
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UEFA Champions League Round Up
Manchester United confirmed their place in the round-of-sixteen in the UEFA Champions League last night, after a match against Scottish rivals, Rangers ended up 0-1 in United?s favour. Wayne Rooney scored the only goal of the night at the Ibrox stadium, which shattered Rangers? hopes of progressing in the Champions League. As a consolation, Walter Smith?s men will have booked a place in the Europa League next year.
Critics argue that despite not faring well in the Champions League this season, the Scottish team put on a better display than they did in the competition last year, when they failed to win a single match. Manchester United are now the leaders of their Group C, topping their table with ten points and Valencia are second, with seven points. The Spanish side thrashed Bursaspor 6-1, in a fixture that was also played out last night, effectively booking their place alongside United in the knockout stages of the competition.
Fellow English club and in-form Tottenham beat Werder Bremen 3-0, which will see the Spurs progress to the next round. Benitez?s Inter-Milan won against FC Twente. Spanish giants, Barcelona thrashed Panathinaikos 0-3 and Hapoel Tel-Aviv won 3-0 against Benfica. Group D?s Rubin Kazan?s match against Copenhagen ended 1-0 in Kazan?s favour, while Schalke sustained a win against Group B leaders Lyon.
Wayne Rooney sunk Gers hearts after tucking one in against goal-keeper Allan McGregor in the 87th minute. The penalty was awarded to United, after Haismith committed a rash challenge on Fabio and penalty-taker, Rooney?s strike and Allan?s miss proved detrimental to the Rangers, who prevented the Red Devils from scoring for an overwhelming majority of the match but had to settle for a loss at the bitter end. Manchester United are now the only team to have not conceded a goal in the Group stages of the competition.
Wayne Rooney had one other good chance in the first half, when his header touched the wood-work. United dominated Rangers in all other statistical aspects of the match, with 56 per cent of possession, twelve attempts on target as opposed to Rangers? five. The Red Devils even committed thirteen fouls compared to Rangers? eight and Sir Alex?s men enjoyed thirteen corners, compared to Smith?s side who only managed one corner. Rangers' players Whittaker, Naismith and Hutton were all awarded yellow cards by referee M. Busacca.
Rooney, who has been in the headlines for the past month due to his high profile injury, problems in his personal life and contract-signing controversy, was eager to win back the hearts of the United faithful. The 25-year-old, who has just penned a new five-year contract with United, was forced to dispel rumours that he delayed his decision to stay with the club to increase his salary and that United would gain a greater fee from his departure, if he decided to leave the club in the future. The striker made a statement ahead of the match, in an attempt to prove his mettle to the Red Devil fans, saying ?I have to go out and prove to the fans that I am here to stay and I want to work and I want to win things at this club.?
A player who may not face a long term future at United may be Dimitar Berbatov, as reports have emerged that the Bulgarian may move to Juventus and in exchange, Gianluigi Buffon may play at Old Trafford. Speculation about the Bulgarian's future has yet to be confirmed by the manager and club.
Manchester United boss, Sir Alex Ferguson praised his player?s performance and described Rooney?s decision to take the penalty as courageous. Ferguson now wants to seal his team?s position as leaders of their Group C; they face Spanish side Valencia next at Old Trafford.
Rangers? boss Smith had to field a fairly inexperienced side against the English club, as many players in his first team were injured. Before the game, the boss was heard admitting to the media that he ?needed a hand? and that his team had ?basically only teenagers left.? The manager went on to reinstate his team?s need for investment, explaining that ?If we don't get any help in the January transfer window then we could have a struggle again because we are right down to the bare bones in terms of what we have.? Rangers now have a consolation place in the Europa League and will play in the competition after Christmas.
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