Mergence calls on the FSCA to probe alleged R1,7bn in excessive municipal fund fees
This Citywire article reports on Mergence Investment Managers’ appeal to the FSCA to investigate an estimated R1.68 billion in ‘excessive’ administration and property management fees paid by their former client over the past six years to their fund administrators.
Relief as Absa CEO Arrie Rautenbach bows out
Commenting on the premature stepping down of Absa CEO Arrie Rautenbach, Radebe Sipamla, senior investment analyst at Mergence Investment Managers, said it was unfortunate that Absa’s internal squabbles had played out publicly instead of being resolved internally. Questions also need to be asked of the board as to why they were slow to react on […]
SA’s only private coal-fired power station attracts new investors
Zungu Investments Company and Mergence Investment Managers have invested in SA’s only privately owned coal-fired power station, Kelvin Power Station. Located in the City of Ekurhuleni, Kelvin Power is said to provide 10%-14% of Johannesburg’s power. The Competition Commission has approved the purchase of Aldwych by Harith InfraCo — whose shareholders are the Government Employees […]
MEPF trustee: Mergence’s performance was dismal
This Citywire article examined the asset management fees and investment performance, citing an actuarial report. However, throughout the 19-year relationship between the client and asset manager, neither fees nor performance were previously addressed prior to the alleged termination of the investment mandate, which has now become the subject of legal proceedings. Mergence’s response to the […]
Thusong microfinance acknowledged at SADC investment awards
Mergence investee company Thusong Financial Services, a microlender in Lesotho, was a finalist in the Small Companies Category at the prestigious SAVCA Awards. Chito Siame, Mergence Investment Principal, outlined some of the tanglble positive impacts the investment has had on the lives of thousands of Basotho.
Mergence in legal battle with municipal fund over termination of mandate
Citywire reports on the contested termination of the Mergence Investment Managers investment mandates by a major pension fund, now under legal review and reported to the FSCA. A Section 26 notice was issued to the fund’s administrator, citing an improperly constituted board of trustees. This notice, served before the termination of the Mergence mandates, adds […]
SA’s connectivity challenge
Internet connectivity and digital transformation are a major catalyst for economic growth. Read about Mergence’s investment in fibre company Linteg in the annual Financial Mail Infrastructure Report. Chito Siame, Mergence Private Markets Investment Principal, points out that through Linteg and other fibre investee companies Mergence has helped to fund up to 35,000 end points. He […]
Vodacom merger will ‘harm downstream fibre providers’
“Commenting on the current case before the Competition Tribunal on cellphone operator mergers, Mergence Head: Equities Peter Takaendesa it was quite likely that Vodacom will deploy more of its capital outside South Africa or prioritise repaying debt if the competition authorities ultimately prohibited the transaction.”
Vodacom pursues joint ventures to increase fibre and rural network connectivity in international markets
Commenting on aspects of Vodacom’s business post-year end results, Mergence Head: Equities Peter Takaendesa said that Vodacom is in a relatively stronger position compared to its peers, as it has the ability to recoup from the consumer some of the cost pressures affecting the industry in its key markets, has a stronger balance sheet and […]
New chapter for De Beers as Anglo American dims its shine
Anglo without De Beers? De Beers’ future seems uncertain after Anglo recently said it is looking into various options to spin off the business. Commenting on the announcement, Izak van Niekerk, portfolio manager at Mergence Investment Managers, yesterday said it was too early to say if Anglo was selling or unbundling De Beers, or a […]
Won’t be the same company in 5 years as Prosus picks engineer CEO
The appointment of Brazilian entrepreneur Fabricio Bloisi at Naspers-Prosus has taken the market by surprise but Mergence Head of Equities, Peter Takaendesa, said he believed that the Board had balanced operational experience with improved capital allocation by appointing Bloisi and retaining the acting CEO as president.
Worth a weighting to Gold?
“In truth, the gold standard is already a barbarous relic.” -John Maynard Keynes, A Tract on Monetary Reform, 1923 “Gold … has two significant shortcomings, being neither of much use nor procreative.” – Warren Buffett, Berkshire Hathaway letter to shareholders, 2011 No investment evokes more passion in its supporters and detractors than gold (okay, possibly […]
