When a short seller launches a public attack on a company, the resulting storm can lead to a big dip in share price as investors digest the charge sheet – see Muddy Waters on Olam.
But African Bank, South Africa’s biggest household lender, saw its shares climb on Thursday despite a highly critical presentation by David Stemerman of Conatus at a conference in New York on Wednesday. A less-than-convincing case by the short seller? Or a question of the bad news already being out there? Continue reading »
Lebanon has long exported its bankers and financiers across the world, but its banks have generally remained fairly conservative domestic institutions, venturing only carefully outside the country’s borders, writes Robin Wigglesworth.
Yet given the country’s perennial political turmoil – interspersed with the occasional bout of violence – many Lebanese banks have in recent years looked abroad for opportunities to diversify their operations. One of the pioneers has been Byblos Bank, the third-largest financial institution in Lebanon by assets.
Absa has agreed to buy Barclays Africa in an all-share deal worth R18,33bn (£1.3bn), writes Alistair Gray.
As a result, Barclays – which paid $4.5bn for a majority stake in Absa in 2005 – will increase its stake in one of South Africa’s big four banks from 55.5 per cent to 62.3 per cent. Continue reading »