KPMG ends advisory services to JSE-listed clientele
Embroiled auditor KPMG has decided to terminate its non-audit services to clients listed on the Johannesburg Stock Exchange in an attempt to rebuild confidence in the company’s operations. The auditing firm is attempting to mitigate any potential conflicts of interests that may arise as a result of offering consulting services. The scandal-hit firm has come under fire in the last few years, most notably for becoming caught up in facilitating Gupta-family linked corruption scandals. The reputational damage was immense, with the multinational losing many clients following the allegations. ‘Chinese walls’ is a business term used to describe an ethical barrier positioned to block the exchange of information within a company. Unfortunately these ethical barriers are not complied with from time to time, leading to corporate scandals. On face value this looks like an extremely prudent move by KPMG and a definite step in the right di
Beitbridge border post gets SA bank loans for revamp
By Roxanne Henderson and Ray Ndlovu
(Bloomberg) – Lenders including Standard Bank Group and FirstRand provided $130m (R1.8bn) of loans for an upgrade of Southern Africa’s busiest border crossing.
A syndicate of banks comprising Rand Merchant Bank, ABSA, Nedbank and Standard Bank availed part of the USD 300 million for the redevelopment of Beitbridge Boarder Post. This shows confidence in the Zimbabwe economy, and future growth in regional trade activity. The financing for the Beitbridge border between South Africa and Zimbabwe includes the $130m commercial debt tranche arranged by FirstRand’s Rand Merchant Bank unit, Standard Bank, Absa Group and Nedbank Group, according to an article paid for by RMB and published by Johannesburg-based website BusinessLive. It also includes a $65m development-finance institution tranche from Afreximbank and the Emerging Africa Infrastructure Fund.
Standard Bank eyeing shares in Angolan unit after partner jailed
By Roxanne Henderson and Candido Mendes
(Bloomberg) – Standard Bank Group Ltd. is interested in buying shares it doesn’t already own in its Angolan unit after an investor in the business was detained and his shares seized by authorities.
‘Over the last two years we have increased our stake in our subsidiaries in Kenya and in Nigeria,’ Sola David-Borha, the chief executive officer of Johannesburg-based Standard Bank’s African division, said in a video call. ‘If the opportunity arises in Angola as well, we will do so.’
A rule barring foreign companies from full ownership of businesses in Angola was in place when Africa’s largest lender opened its unit in the southern nation in 2010, but has since been scrapped for some industries.