Exchange-Listed Companies

Lesaka Technologies will seek shareholder approval for a proposed B-BBEE transaction in which the Group will sell a 3% stake in the company (2,49 million shares) to qualifying employees for c.R212,6 million. The approximate number of participants in the ESOP will be 2,400. The shares will be vendor funded by the company through a notional vendor funding structure which will have a seven-year term.

Brimstone Investment has disposed of 43,565,057 STADIO shares (a 5.14% stake) to ThembiSA Fund 1, a black private equity fund managed by ThembiSA Equity Investments, at a price per share of R5.90 for an aggregate R257 million. Brimstone acquired 78% of the sale shares as part of STADIO’s B-BBEE private placement in 2017 and a further 22% in 2018 through a share swap agreement with STADIO. The shares were subject to a lock-in period of 4 December 2024 and 22 March 2025 respectively. ThembisSA has assumed the original lock-in arrangements. Brimstone will use the proceeds to meet funding obligations.

Though its subsidiary Castellana Properties, Vukile Property Fund has negotiated an improved offer price of €8.30 per share (up from €8.10) for its 28.8% stake in BME-listed Lar España Real Estate. The purchasing consortium of Hines European Real Estate Partners III and a vehicle controlled by Grupo Lar Inversiones Inmobiliarias, will pay €199,95 million in cash for the stake reflecting an internal rate of return of c.45% per annum since January 2022 in ZAR terms. The proceeds will be used to invest in financially accretive opportunities with significantly lower operational and execution risks.

African Dawn Capital has released details of its disposal of a 50% stake in its wholly-owned subsidiary Elite Group, a credit provider with a national footprint in South Africa. EXG Partners has invested R5 million for the stake through the subscription of ordinary shares and has provided a long-term commercial loan of R15 million to Elite. The audited loss attributable to Elite as at the last audited financials of the African Dawn Capital was R11,9 million. The disposal is categorised as a category 1 disposal, requiring shareholder approval.

ADvTECH has purchased FNB’s (FirstRand) former training and conference centre in Sandton for an undisclosed sum. The company will create a new University campus, investing in new lecture facilities and a new sports centre and will relocate the IIE’s Varsity College Sandton and Vega Bordeaux to the site for the start of the 2026 academic year.

As part of its preparation ahead of the reverse takeover by Swiss investment group ESGTI AG, Kibo Energy PLC has negotiated the partial settlement of the RiverFort Loan (of £462,871) with the sale of its remaining 19.52% interest in Mast Energy Development PLC (MED) to RiverFort Global Opportunities for £120,074. The 19.52% stake comprises 83,211,746 MED shares (listed on the LSE) at £0.001443 per MED share calculated as at the volume weighted average price per share on 27 September 2024.

NEPI Rockcastle has entered into a binding agreement to acquire Kasama Investments, which owns Magnolia Park situated in Wroclaw in Poland. The property has been acquired from Union Investment Real Estate GmnH for an aggregate purchase consideration of €373 million, including the full settlement of Magnolia Park’s outstanding debt. The transaction is classified as a category 2 transaction by the JSE and as such does not require shareholder approval.

Following the listing of We Buy Cars and the disposal of Nutun Australia and Nutun Transact, Transaction Capital (TC) has now disposed of a 64.5% stake in the Mobalyz Group (previously known as SA Taxi). The company will continue to hold a minority stake in the business. Prior to the disposal, TC disposed of RC Value Added Services to its wholly owned SATH for a purchase price of R160 million which will remain as a subordinated loan. TC will continue to hold a minority stake in SATH of 26% via its shareholding in Mobalyz. Following the disposal of a majority stake in Mobalyz, TC’s sole operating business will be Nutun South Africa and will at its shareholder meeting in March 2025 look to changing its name to Nutun.

MultiChoice and Canal+ have advised that they have made a joint merger control filing pertaining to the offer announced in March 2024, to the Competition Commission. The deal is classified as a ‘large merger’ and as such requires approval from the Competition Tribunal.

Delta Property Fund has disposed of two properties to Currolink Investments for an aggregate R33 million. The properties – 63 Maitland Street in Bloemfontein and 95 Du Toitspan Street in Kimberley are in regions Delta has earmarked for exit.

Unlisted Companies

South African card issuing orchestration and Infrastructure-as-a-Service enabler Scale, has completed a pre-seed funding round raising US$700,000. The round was led by early-stage investors 54 Collective and First Circle Capital, with participation from Sunny Side Venture Partners and prominent angels from the industry. The fundraise will be used to accelerated Scale’s market entry into Kenya, Zambia and Cote d’Ivoire.

TMF Group, a global provider of compliance and administrative services, has acquired the corporate services business in South Africa of the Stonehage Fleming Group, an international Multi-Family Office. The Stonehage Flemming Corporate Services South Africa (SFCS South Africa) acquisition expands TMF’s local presence and affords SFCS access to a global platform with large global clients and capabilities. Financia details were undisclosed.

TUNL, a South African parcel shipping platform which helps e-commerce merchants on international shipping costs, has raised a seed round led by E4EAfrica, together with Jonathan Smit, Jozi Angels and an SPV arranged by Utopia Capital Management. The new funding will continue to fuel its expansion in South Africa by removing the barriers to international selling and shipping faced by local SMEs.

Founded in 2021, Littlefish, a local fintech company empowering and enabling commerce, particularly for nano, micro, and small business has closed a seed investment round led by TLcom Capital, with Flourish Ventures as a co-investor. The funds will be used to accelerate its plan to empower banks to more efficiently service small and medium-sized companies. The investment is a first for TLcom in SA, which sees the potential for Littlefish to help bridge the financial services gap for the more than 80 million SMEs across Africa.

Petrobras, the Brazilian state-owned oil company, is to acquire a 10% stake in the offshore Deep Western Orange basin oil block in South Africa after a competitive process held by TotalEnergies. The French oil major will retain a 40% stake in the block. Other parties include QatarEnergy (30%) and Sezigyn (20%).

DealMakers is SA’s M&A publication.
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