Africa Has the Potential, but Is It Ready for a Business Boom?

Africa investment summit 2012

Cape Town’s business district lights up as dusk falls over the city, November 2, 2009. REUTERS/Mike Hutchings

Reuters Africa Investment Summit 2012 gives insight into continent poised for development Africa has the potential, but is it ready for a business boom?

ome to a billion people, dozens of fast-grow- the continent, counting on the growing trade flows ing economies and an emerging middle class, between Asia and resource-rich Africa. While the Hthe world’s poorest continent is increasingly stakes are huge, so are the challenges: the increasing seen as the next big destination for global investment. trend of resource nationalism, a lack of infrastructure After a decade of relative stability in many sub-Sa- and adequate power supply, a shortage of skilled la- haran countries, investors and major multi-nationals bour and, in many countries, an entrenched culture of are betting big on the rise of the African consumer. graft. During closed sessions with Reuters journalists, Rapid growth is also attracting more private equity government officials, leading CEOs and senior ex- firms, including major U.S. heavyweights. Western ecutives discussed these issues, the opportunities and investment banks are angling to do more deals on challenges facing investors in Africa.

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Workers package beer at Cervejas de Mocambique, a subsidiary of giant SAB Miller, in Maputo, March 17, 2009. REUTERS/Grant Lee Neuenburg SABMiller eyes $2.5 billion in Africa investment

By Tiisetso Motsoeneng and est growing, with underlying volumes in the mercial beer consumption per capita could Tebogo Mahlaela last three months of 2011 up 11 percent. reach as much as 30 liters over the next 15 JOHANNESBURG, April 16, 2012 Bowman said the London-based brewer, to 20 years in most of its markets in Africa which is also listed in Johannesburg, will use outside South Africa. ABMiller plans to invest up to $2.5 bil- the money to build two to three breweries The world’s second biggest brewer is lion in Africa over the next five years to each year across the continent, where some ratcheting up production of affordable beer Sbuild and revamp breweries, its head for breweries are running at or near full capacity. by using local ingredients such as cassava the region, as it looks to slake rising demand Africa is home to a billion people and, af- and sorghum instead of the more expensive for beer in the fast-growing continent. ter a decade of relative political stability, doz- barley to drive growth. “We are still looking at around 400 to ens of fast-growing economies. Although SABMiller launched the first cassava- 500 million dollars a year ... for the next still poor, it is increasingly seen as the next based beer late last year in Mozambique, three to five years,” Mark Bowman, SAB- big growth market for consumer goods. an affordable beer blend that fetches up to Miller’s managing director for Africa told But average beer consumption, at 8 liters 70 percent of the price of mainstream beer, the Reuters Africa Investment Summit. per person per year, pales when compared thanks to lower taxes. “There’s quite an attractive growth in with about 70 in North America or Europe, “Commercial beer signifies reaching markets outside South Africa so we will be suggesting that few Africans can afford the some sort of level of status as opposed to investing basically to meet and be ahead of beverage, which is seen as a status symbol. drinking a home-brewed beer like chibu- demand,” he said in an interview at Reuters Bowman said if one includes the home ku,” Bowman told the Summit, referring to offices in Johannesburg. brew market -- where the beverage is cheap- a popular sorghum-based brew. SABMiller’s Africa business, which ex- er -- beer consumption on the continent is cludes South Africa, is the group’s biggest just as big as in other developed markets. Additional reporting by Enos Phosa; Editing recipient of capital expenditure and its fast- He said with affordable prices, com- by David Dolan and Jon Loades-Carter

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Africa’s demographics: dividend or disaster?

By Ed Stoddard “The idea that because there are expand- rica and what we want to do is go down JOHANNESBURG, April 18, 2012 ing consumer markets or more mobile and meet it earlier as opposed to waiting phones in Africa and more people waltzing for it because beer is just too expensive, on anted: Investors for young, hot around in Armani suits, that this is some- balance,” he said. and thirsty continent. Popula- how going to drive the economies out of “So if you can get beer down to a Latin Wtion to double in 40 years. Poor, poverty, is pure fatuous nonsense,” he said. American type earning profile where with- but less than it was. Interested parties must But retailers are not discouraged and Actis in 30 minutes of work you have enough think long term. sees pent up consumer desires to be tapped. money to buy a beer, from the 3 to 4 hours Africa’s demographic profile could make “If you look at Nigeria for example, a so- it takes currently, we would significantly in- it a dream for retailers if spending power phisticated retail model there is actually non- crease the opportunity for our sales.” continues to rise - or an unfolding disaster existent. The bulk of trade still happens in But the big worry is those who cannot for everyone if the labor market fails to ab- informal markets,” he said. “But as people be- afford to buy any sort of drink as youth sorb its swelling ranks of young people. come more affluent they become aspirational.” unemployment rises in many parts of the Top business executives at the Reuters continent, fuelling resentment against the Africa Investment summit see potential. The idea that because there expanding elites and potential social unrest. They expect ever higher numbers of child- are expanding consumer markets “Youth underemployment and unem- less young people to enter the labor market or more mobile phones in Africa ployment is a major source of concern to and earn money that they can spend or save. our government,” Zimbabwe’s youth min- The latest U.N. figures project that Africa’s and more people waltzing ister, Saviour Kasukuwere, told the summit population will double over the next four de- around in Armani suits, that this in Johannesburg. cades to almost 2 billion. To give just one ex- is somehow going to drive the “If you have young people who are rest- ample, 46 percent of Zambians are below 15. economies out of poverty, is pure less and they have nothing to occupy them “We are going to benefit from a demo- fatuous nonsense then the sure way will be the Egyptian kind graphic dividend. You are going to have this of uprising,” he said, referring to the upris- significant increase in consumers,” said John Author Duncan Clarke ing that toppled President Hosni Mubarak van Wyk, who co-heads the Africa business last year. of private equity firm Actis, which has $1.5 That was also the watchword for Mark There has been no sign yet of North Afri- billion under management in Africa. Bowman, brewer SABMiller’s managing can style revolts spreading south of the Sahara. A 2010 study by the McKinsey Global director for Africa. And Zimbabwe is a particular case af- Institute projected the number of Afri- SABMiller’s Africa business, not count- ter losing more than a decade of growth can households with discretionary income ing South Africa, is the group’s fastest to what detractors say were disastrous eco- earning over $5,000 would rise to 128 mil- growing. Underlying volumes in the last nomic policies. lion by 2020 from 85 million. three months of 2011 were up 11 percent But Zimbabwe’s demography is not Credit Suisse estimates African household on the year before. unique to the continent. According to the wealth grew at 19 percent in 2010-2011 - “Beer is highly aspirational. As the World Bank, about 40 percent of its popula- outpaced only by India and Latin America. economies improve and the legal drinking tion is below the age of 15 and estimates of its Some argue that hype around Africa is populations grow the prospects are very unemployment rate run as high as 80 percent. overdone and that concentrating on the big positive for beer and soft drinks,” he said. “In 1900 there were only 110 million macroeconomic numbers gives a mislead- SABMiller plans to invest up to $2.5 people in Africa, now there are over a bil- ing picture on a continent where most trade billion in Africa over the next 5 years. lion. In 2050 Africa is going to have 2 bil- remains informal. The strategy with Africa’s income lev- lion. So there will still be huge problems of “(It) doesn’t tell you about the peas- els and demographics, he said, was simple: poverty, of income scarcity, and most im- ants, it doesn’t tell you about the urban make beer affordable by cutting the price. portantly of unemployment,” said Clarke. slums,” author Duncan Clarke told Re- “You have this natural increase in wealth uters this month. slowly but surely and inexorably across Af- Editing by Matthew Tostevin

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Zimbabwe’s “Tyson” goes the distance with foreign firms

By MacDonald Dzirutwe and David Dolan His reputation for being tough on for- HARARE/JOHANNESBURG, April 16, 2012 eign firms was burnished by a public spat with Implats CEO David Brown, which icknamed “Tyson”, Zimbabwe Em- dragged on for months. powerment Minister Saviour Kasu- “The problem with Brown is that he Nkuwere doesn’t shrink from a fight talks too much. We are sick and tired of his when it comes to taking on foreign compa- delaying tactics,” he told Reuters in Febru- nies that own mineral rights in his country. ary, a month before Implats bowed to Zim- “Somebody has to get them to un- babwe’s pressure. derstand the message,” the man who has He also says the empowerment drive forced global miners to give up majority strikes a personal note, saying he faced rac- stakes in their Zimbabwe operations, told ism in building one of his early business the Reuters Africa Investment Summit in ventures, oil importer ComOil. Johannesburg on Monday. “I know what it means for a young black “You can’t continue with that old mental- business person to go into business and ity of islands of prosperity and seas of poverty, Zimbabwe’s Minister of Youth Development, during the times I did, the financial insti- it just can’t work any more. When we talk to Indigenisation and Empowerment Saviour tutions were controlled by colonial institu- these companies, we are not being malicious Kasukuwere speaks during the Reuters Africa tions,” he told the Summit at Reuters of- or cruel, we are making them see the reality,” Investment Summit in Sandton April 16, 2012. fices in Johannesburg. said Kasukuwere, who takes his nickname REUTERS/Siphiwe Sibeko “If they gave you a loan to buy a truck, from the U.S. heavyweight boxer Mike Tyson. the following day, they will come and re- Critics accuse the former officer in Zim- possess because you would have failed to babwe’s feared Central Intelligence Organ- PF in the coalition cabinet, is seen as a ris- honour your obligations by one day.” isation of acting outside the law in forcing ing star in his party. Unlike the stiff image conveyed by most foreign companies to comply. He often is touted as a potential succes- senior officials in his party, Kasukuwere is Some say President Robert Mugabe’s sor to Mugabe, 88, though for the moment tech-savvy, trending on social network site ZANU-PF party is using the empower- he brushes such talk aside. Twitter and maintaining his own homepage. ment drive to squeeze money out of foreign “I have been asked by my president to He easily took questions from partici- firms to finance its election campaign. serve as a minister. I am quite happy with pants in a Reuters chatroom for financial “Tyson’s” opponents also are suspicious this position,” he said. “I don’t have an am- clients, and used jokes to deflect questions of his leadership role in the ZANU-PF bition to go beyond my call of duty right about Mugabe’s succession plans. youth wing blamed by many for violence now.” He said he also has a business in South that has marred Zimbabwe elections over What that means in practice is taking on Africa, but declined to give further details the last 12 years. some very powerful players in the world of citing concern about international sanc- Prime Minister Morgan Tsvangirai global mining. tions against leaders in ZANU-PF for sus- of the rival Movement for Democratic Last month he forced Impala Platinum pected human rights violations. Change (MDC), who works uneasily with , the world’s second-largest platinum pro- He is a farmer, having benefited from Mugabe, has been critical of the way the ducer, to transfer 51 percent of its stake in its Mugabe’s seizures of white-owned com- empowerment drive is implemented. Zimplats operation to locals, ending months mercial farms, and owns a freight business. He says the campaign is driven by the up- of wrangling between Implats and Harare. All of his businesses are said to have flour- coming elections and is scaring investors away. That has emboldened him to pursue ished since becoming a politician. other mines, including Anglo American RISING STAR Platinum, which is developing Unki mine Additional reporting by Tebogo Mahlaela, But the burly, 41-year-old Kasukuwere, the in central Zimbabwe, to comply with the Enos Phosa, Tshepo Tshabalala in youngest minister from Mugabe’s ZANU- empowerment law. Johannesburg; Editing by Michael Roddy

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ICC trials main threat to Kenyan polls: electoral commission

By James Macharia aura, to stand trial for instigating the vio- NAIROBI, april 17, 2012 lence. The four deny the charges and have appealed the ICC’s right to try them. he possible trial of Kenyan politi- Kenyatta and Ruto have forged an alli- cians for election violence is the big- ance against Prime Minister Raila Odinga, Tgest threat for a repeat of unrest at who leads in the race according to pollsters, next year’s vote, the country’s electoral head to replace outgoing President Mwai Kibaki. said, hoping reforms and new technology Asked if ethnic enmity which spurred the will ease a “pressure cooker” of tensions. fighting after the last polls had eased some- Next March’s election will be the first what since 2007, Hassan said: “Tribalism is since a disputed poll in 2007 that triggered a a cancer ... it took us to the brink of civil war, politically-fuelled ethnic slaughter in which but we came back from the abyss. I hope we Electoral officials count votes at a polling centre more than 1,220 people were killed. learnt the lessons.” in Eldoret town, 300km west of Kenya’s capital Any trouble in Kenya could hit invest- A recurrence of election violence could Nairobi, August 4, 2010. REUTERS/Thomas Mukoya ment, trade and transport in the east African deliver another economic blow to Kenya economic powerhouse’s land-locked neigh- where the unrest slowed economic growth bors, especially Rwanda and Uganda, which to 1.5 percent in 2007/8 from 7.0 percent in the results. We are the first country in Africa rely on Mombasa port for imports of food, 2007. Tourism income fell 19.4 percent after to use the transmission of ballots counted consumer goods and fuel. a record year as wary travelers stayed away. real-time, live,” said Hassan, who won praise “As we move towards the election, it will Speaking at the Reuters Africa Invest- for using technology for the referendum, become a pressure cooker,” said Ahmed ment Summit, Hassan said judicial and elec- earning the 42-year-old lawyer the president Isaack Hassan, head of the Independent toral reforms included in a new constitution and parliament’s nod for the IEBC job. Electoral and Boundaries Commission adopted in 2010 and new technology should “This way, by prime time news, people (IEBC) that will oversee the vote. deliver a fair election that would avoid the will know the results and go to bed knowing “The issue of the International Criminal cycle of bloodletting. who won and this will help ease tensions.” Court (ICC) process may bring some ten- Under a new system, the tally of ballots In 2007, the tallying of presidential bal- sions. This is the only thing which stands for a presidential candidate, cast at thou- lots was delayed for days, raising suspicions out, we have to wait and see how it will im- sands of polling stations across the country of ballot rigging. pact the elections.” of about 40 million, will be transmitted elec- Hassan said, under the new constitution, Leading presidential contenders Uhuru tronically to a national counting centre and he and other electoral officers could be per- Kenyatta, the former finance minister and broadcast live on television. sonally liable for any electoral malpractice, son of Kenya’s founder president, and Wil- Previous elections have suffered from something that should diminish the suspi- liam Ruto a former higher education minis- claims that votes were interfered with while cions of bias leveled at of his disgraced pre- ter, face charges of directing ethnic mobs to being transported from polling stations to decessor who was blamed for bungling the murder after the 2007 election, along with regional tallying centers. 2007 vote. other crimes against humanity. The new system, which cost $1 million to Having led an African Union team to The charges against Kenyatta, Ruto and install, uses the 3G data network used by mo- oversee last year’s Nigerian elections, cited two others have shaken a country where the bile phone companies and was first tried in by observers as the fairest in decades, Has- political elite was once seen as almost above the a 2010 referendum to ratify the constitution. san said Kenya had to up its game. law, and there is concern that, if the presidential Kenya will also switch to an electronic “Nigeria, Zimbabwe and Kenya were the hopefuls stand trial and are blocked from run- register of voters after ballot boxes at the poster boys for bad elections in Africa. Ni- ning for office, it may trigger fresh violence. 2007 elections were found to contain the geria showed it can do better, and now it’s In January, the ICC ordered Kenyatta, votes of people who had not registered and our turn.” Ruto, radio presenter Joshua arap Sang and even some who were dead. the head of the civil service, Francis Muth- “Technology can enhance confidence in Editing by Robin Pomeroy

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Participants attend a street carnival to mark the end of Easter celebrations, at Tafawa Balewa square in Nigeria’s commercial capital Lagos April 9, 2012. REUTERS/Akintunde Akinleye Investec Asset Management targets Africa’s rise

By Helen Nyambura-Mwaura and on Africa as the continent’s increasingly around the globe in all asset classes includ- Tshepo Tshabalala wealthy population, and a trend towards ing private equity and public debt. JOHANNESBURG, April 17, 2012 political and macroeconomic stability, cre- Du Toit said that there were more pri- ate compelling opportunities. vate equity funds competing for assets on nvestec Asset Management expects Investec told Reuters in 2010 it was the continent at the moment, making hot to grow its assets under management aiming to manage $10 billion in Africa targets of the few opportunities big enough Iacross Africa by at least 28 percent to outside South Africa by 2015. However, du to attract global demand. $45 billion in the next five years, its chief Toit said that target was thrown off track The withdrawal of international banks executive said, helped partly by growing de- by political uprisings in North Africa from from emerging markets had also created an mand for the continent’s debt. the end of 2010. opportunity for investors interested in debt, The money manager, a unit of Anglo- “What we see now is a return of interest he said. South African bank Investec Group, also by institutional investors into Africa, how- Africa has largely been shunned in the sees assets under management on the con- ever, they have a challenge right now. As- past as an investment destination but the tinent, excluding South Africa, doubling to sets are very cheap in many of their home tide is turning in its favor and investors $6 billion over the same period. markets,” du Toit said in an interview from considering other sectors other than the “If you are in the business game, Africa his London offices. traditional resource mining industry. is extremely exciting because it is starting “If you’re sitting in Europe and you have “It took most of the ‘90s to convince our- to be open for business. The opportunities cash, you can buy local credit, you can buy selves this was a great opportunity, but we are so enormous,” chief executive Hendrik distressed assets, you can even buy main- couldn’t convince investors,” du Toit said. du Toit said. stream investments at vastly cheaper rela- “Only in the last decade have we been The Cape Town-based firm manages a tive to emerging markets than before.” able to start getting serious investors.” total of around $100 billion in assets, with The company has deployed more than $35 billion on the continent. $3 billion north of South Africa’s borders Additional reporting by Enos Phosa and Global investors have their sights trained on behalf of institutional investors from Tebogo Mahlaela and; editing by David Dolan

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New rules for revamped Nigeria bourse from next month

By Tim Cocks and Chijioke Ohuocha A $10 million deal with Nasdaq to target of getting 1,000 companies on its LAGOS, April 17, 2012 adopt its trading platform would be signed books within the next five years, up from its next week, making it easier for foreign and current 200 listings, Bajomo said. igeria’s Stock Exchange is three local investors to trade electronically, Ba- Nigeria’s stock market had a torrid time weeks away from completing a re- jomo said. in 2011, falling 16.3 percent despite an ap- Nvamp that will see it relax restric- Africa’s second biggest bourse is auto- parent end to a major banking crisis. tions on price swings, adopt the Nasdaq mated, but the technology is old and price The index gained 3.5 percent by March platform, open into U.S. trading hours and rather than quote driven. The new system 22, but a flurry of disappointing bank earn- allow short selling, its executive director . will make the market more efficient, liquid ings has since sent that rally into reverse, Ade Bajomo, executive director of mar- and easier for traders to use, Bajomo said. leaving it 0.22 percent down this year. ket operations and technology, told the Re- “One of the key initiatives is market- Tellingly, the portion of stocks held by uters Africa Investment Summit in Lagos making, securities lending and short selling,” foreigners leapt by 80 percent to 512 billion the bourse would implement new rules he said. “We want to build a hybrid market, naira ($3.23 billion), or about a third of the allowing stock prices to move by up to 10 with market-makers to create liquidity.” market, last year. percent a day, from its current 5 percent, Ten market makers were going through That suggests local, not foreign, investors and introduce market makers who can bor- the final stages of approval before they start remain the most wary of losses. A banking row stocks for shorting. work, with the aim of having them operat- crisis wiped nearly half the value of equities in “What would we like to be when we ing fully in the market by the end of the 2008, all but 6.4 percent of them held by locals. grow up? I think Singapore,” he said. “A month, he said. “Quite a lot of people got burned in market that rises up from almost zero, a Futures and other derivatives could start 2008, and they’re touchy,” said Bajomo. market run in an efficient manner ... a fi- trading from 2014. “There are efforts to educate people and get nancial hub.” A relaxation of the minimum float re- them back to the market.” Under the new system to be implement- quirement to 20 percent, from 25 percent, He would not give a time frame for ed by next month, Africa’s second biggest would entice companies, particularly for- when he thought the market would recover, bourse will open until 4 p.m. (1500 GMT) eign firms hesitant about being over-ex- but said a number of new listings were in to overlap with U.S. markets. It currently posed, to list. the pipeline for when it does. shuts by 2.30 p.m. That would help meet the exchange’s He urged the central bank to lower its current 12 percent interest rate which he said could help reverse a trend of local investors moving into higher yielding bonds. Central Bank governor Lamido Sanusi is seen as a hawk on inflation, and the bank has raised rates six times in the past year. “I would certainly like to see interest rates come down a bit. Businesses cannot thrive borrowing at 20 percent,” he said. Change to regulation, such as plans by Nigeria’s pension regulator to increase limits on pension funds’ investment in the stock market to half of their portfolio, from a quarter currently, would further boost the equity market, he said.

Brokers work on the trading floor of the Nigerian stock exchange in the commercial capital Lagos April Writing by Tim Cocks; Editing by Jon 28, 2010. REUTERS/Akintunde Akinleye Loades-Carter

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South Africa PIC eyes $3.8 billion private equity push

By Tiisetso Motsoeneng and Tshepo Given the lack of liquidity in many sub- the timeline for when the funds would be Tshabalala Saharan markets, as much as 60 percent of deployed. PRETORIA, April 16, 2012 the Africa money - or 30 billion rand ($3.8 The PIC is likely to be a player in in- billion) - could go into private equity, he said. frastructure investments as countries on outh Africa’s government pension “(African) markets are characterized by the continent build and revamp their roads, fund could invest as much as $3.8 thinly listed equities. So what is likely going dams, hospitals and power stations, he said. Sbillion in African private equity, its to drive us going forward is private equity, Under its former CEO, Brian Molefe, chief executive said, as the continent’s top developmental funding and property,” he said. the PIC was known for using its substantial public pension manager looks for higher “The numbers have not been fully worked stake holdings to lobby corporate South Af- returns beyond its home market. out yet, but you can see anything between 40 rica for more blacks in senior management. The Public Investment Corporation and 60 percent in private equity and devel- Masilela said the transformation of (PIC), which manages more than 1 tril- opmental investing,” he said, adding that the corporate boardrooms was still a priority, lion rand ($125 billion) on behalf of civil rest could go into equities and property. although he preferred a “behind-closed- servants, is currently looking for potential With annual economic growth rates doors” approach, rather than “public spats” private equity partners, Elias Masilela also of 5 percent or more, but underdeveloped with business leaders. told Reuters in an interview. capital markets in many countries, Africa is South African companies are encour- “We are in the process of identifying increasingly becoming a target for private aged to increase the percentage of black partners who are going to be vehicles in in- equity investors. senior managers under rules to redress im- vesting the money on the rest of the conti- U.S. firm Carlyle Group CYL.UL re- balances created by the apartheid regime. nent,” he said in an interview in Pretoria on cently opened offices in Johannesburg and One of the biggest investors in South Wednesday, ahead of next week’s Reuters Lagos and is expected to announce the clos- African equities, the PIC’s holdings ac- Africa Investment Summit. ing of its first Africa fund, while London- count for about 10 percent of Johannes- Masilela said the state-run PIC has been based Helios is likely to deploy capital after burg’s market capitalization. given the green light to invest 10 percent of its closing a $900 million Africa fund in June. $1 = 7.9777 South African rand portfolio outside South Africa, with half of that Masilela declined to name the private eq- - about 50 billion rand - earmarked for Africa. uity investors the fund was in talks with or Editing by David Dolan

Cityscape of Pretoria, the capital of South Africa, a venue of the 2010 World Cup, February 14, 2010. REUTERS/Euroluftbild.de

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Uganda pushes to liven up lonely bourse

By Tosin Sulaiman LONDON, april 18, 2012

he Uganda Securities Exchange aims to double its market value in Tthe next five years and is lobbying the government for tax incentives to en- courage companies to list, its chief executive . The east African bourse also plans to draw new listings through an alternative market for companies that don’t qualify for its main board, Joseph Kitamirike told Reuters. “We want to double our capitalization within the next five years but there are not very many companies that qualify for the main market in Uganda,” he said. The 14-year-old bourse is saddled with many of the constraints that characterize frontier Africa, where small, relatively illiquid capital markets have yet to catch up with robust economic growth. The bourse .ALSIUG is home to just 14 companies, several of them cross-listed Ke- nyan firms. Its total market value is $4.8 billion, less than half of nearby Kenya. It was counting on a high-profile second- A woman weeds her corn plantation in Akia village outside Lira town in the northern region of ary listing of Tullow Oil this year to help Uganda, November 11, 2009. REUTERS/Hudson Apunyo bolster market value, but the oil explorer has decided to focus on other priorities, Kita- mirike said. Small-scale commercial oil production is ex- ment dropping that claim.” “There’s the large sugar companies, plan- pected to begin later this year. The bourse is also planning to launch an tation companies, steel manufacturers,” he But the bourse is growing slower. Kita- alternative market to attract growing com- said in a telephone interview to coincide mirike said the exchange had asked the panies, with less stringent criteria than the with Reuters Africa Investment Summit. government to provide tax incentives to lure main board. “Some of the insurance companies, the more listings. He said the plans were awaiting regula- banks. If we pick one or two of those every These could include a lower tariff for up tory approval, expected next month, and that year we will probably be able to double our to three years and a tax waiver for companies the exchange was already in talks with three capitalization on the exchange within that with unpaid back taxes, he said. firms - an insurance company and two in the period.” “There are certain major companies that transport sector. Foreign investor interest in Uganda has might qualify for the main market that have It is also looking to introduce trading of grown since the east African nation discov- a tax history that needs to be cleaned up,” he government debt and a gold-based ETF this ered commercial hydrocarbon deposits in said. “We’re asking the government to waive year, he said. the Albertine rift basin along its border with those, to give those companies a chance to the Democratic Republic of Congo in 2006. come and list in exchange for the govern- Editing by David Dolan

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Africa’s scarce infrastructure breeds “self-reliant” companies

By Tiisetso Motsoeneng “When we first got there in 2009 there nent’s infrastructure projects, said. JOHANNESBURG, april 19, 2012 was about 4 kilometers of tarred roads,” South African construction firm Group Mark Bowman, Africa regional head of Five, which also operates in the Middle ompanies betting on Africa’s growing SABMiller told the Reuters Africa Invest- East, also knows it has to play by differ- affluence are being forced to come up ment Summit this week. “We tend to be ent rules when it executes projects in most Cwith clever ways of doing business to very self-reliant when it comes to Africa. We parts of the continent. get around the continent’s dilapidated roads, make no assumptions about the environ- In one its projects in the DRC, Group shaky power supply and inept ports. ment.” Five put transport, accommodation, medi- “If there isn’t a well developed distribu- Outdated infrastructure remains one of cal facilities and water in place for its 1,000 tion network in place, many companies the biggest challenges for investors wanting workers to get work done. would take some of that obligation to get the to invest in sub-Saharan Africa, where con- “Power, water and transport infrastruc- product onto the market themselves,” John sumer spending power is expected to double ture in Africa is underdeveloped by a long van Wyk, Africa co-head of private equity to $1.4 trillion by 2020 on the back of a ris- shot ... We have to create a whole new island firm Actis, told the Reuters Africa Invest- ing population and relative political stability. for ourselves,” Mike Upton, Group Five’s ment Summit this week. The region’s infrastructure backlog needs chief executive officer told the Summit. SABMiller not only runs a brewery in $22 billion a year to keep up with an annual Others such as South African grocery South Sudan but the world’s No.2 beer pro- economic growth rate of 7 percent, the Afri- retailer Pick n Pay only invest in markets ducer also operates its own solar power and can Development Bank said. where they have existing infrastructure. waste-water treatment plants after decades Areas such as sanitation, electricity and “The reason why we invest in contiguous of civil war left the world’s newest nation roads, have the greatest need for investment, (markets) is that we have infrastructure to with virtually no infrastructure. the bank, which finances many of the conti- get to those markets,” said Pick n Pay chairman, Gareth Ackerman. The company has no immediate plans to set up in Nigeria because the continent’s most populous country is too far from its existing businesses and distribution networks in southern Africa. “It won’t be easy to supply into Nigeria from South Africa. There are no road con- nections and the ports are not always as efficient to get products in and out.” The rewards for companies prepared to take the plunge can become quickly appar- ent though. SABMiller’s $39 million South Sudan brewery, which gave the nation its first locally produced beer in 25 years, dou- bled its capacity last year to cater for surging demand. “If ports were easy to get into, highways were all over the place, competition would be very different in Africa,” SABMiller’s Bowman said.

A woman walks at future site of the Angre bridge, built to allow better traffic conditions, in Abidjan. Additional reporting by Tebogo Mahlaela; REUTERS/Thierry Gouegnon Editing by Jon Loades-Carter

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Nigeria First Bank plans $500 million bond later in year

By Chijioke Ohuocha LAGOS, april 18, 2012

igeria’s First Bank Research, has appointed Goldman Sachs and NCiti Bank Research, to manage the sale of a $500 million Eurobond planned for later in the year, its chief financial officer told Reuters on Wednesday. Speaking at the Reuters Africa Invest- ment Summit in Lagos, Bayo Adelabu said the new bond would replace a $175 million Eurobond, which it retired last month. “We’ve appointed advisers for the bond - Goldman Sachs and Citibank - to launch the $500 billion Eurobond,” Adelabu told Reuters in an interview. Nigeria in 2011 issued a $500 million 10- year Eurobond, which set a sovereign bench- mark in international capital markets and prompted corporate issuers to follow suit. United Bank of Africa Research, also plans to issue a $500 million Eurobond in the final quarter of this year or early next year to finance its foreign currency assets and expansion in Africa. Nigerian lenders were hit by a financial crisis in 2008 that nearly bankrupted nine of A money dealer counts the Nigerian naira on a machine in his office in the commercial capital of them before a $4 billion bailout. First Bank Lagos, January 13, 2009.REUTERS/Akintunde Akinleye was not among those that needed rescuing. Recovery since then has been rocky, with most banks reporting losses or profit de- expand its footprint. in 2011, 2.6 percent of them non-perform- clines for 2011. “What we are doing is to acquire one or ing, he said, compared with 7.8 percent in First Bank bucked the trend, posting a 48 two (per country) and see how much they 2010. percent jump in 2011 full year pretax prof- can contribute to the group,” he said, adding Adelabu said there was a large retail its to 50.06 billion naira ($318 million) on that the bank would expand outside Nige- population in Nigeria to which his bank was Tuesday. ria only through acquisitions, not greenfield looking to extend loans, but it was still as- Adelabu said the lender had started to start-ups. sessing the risks, particularly for low-income pursue a pan-African strategy, with a 75 per- Nigeria’s biggest bank by assets plans customers. cent acquisition of BIC Bank in the Demo- to increase its loan book by 10 percent in The bank plans to add 120 new branches cratic Republic of Congo last year, and was 2012, targeting sectors within the oil and to its existing 630 this year and add 500,000 in the talks to acquire a bank in a major west gas, infrastructure and agriculture sectors, he new customers to reach 6 million in 2012, African country, which he declined to name. said. Adelabu expected returns on equity of he said. He said the bank had identified 10 around 16-18 percent in 2012. countries in Africa where it would want to First Bank had 1.2 trillion naira in loans Editing by Tim Cocks and Jane Baird

11 Africa investment summit 2012

Angola rebuilding to attract capital for farms, mining

By Shrikesh Laxmidas LUANDA, april 20, 2012

ngola’s rapid rebuilding after a dev- astating civil war will attract foreign Acompanies to invest in its ample natural resources and help diversify the economy away from oil, the new head of the country’s investment agency said. Maria de Luisa Abrantes, President of the Angolan Agency for Private Invest- ment (ANIP), also told Reuters that a new Speedboats sit beneath the backdrop of Luanda. REUTERS/Rafael Marchante investment law passed in 2011 is helping the government approve foreign investment projects more rapidly and monitor their ef- resulted from incomplete information pro- The government’s focus is now on re- fectiveness more closely. vided by prospective investors. building road, railway, energy and water “By clearing the mines left by the war, we “Even the large projects, which have to be grids to attract capital for key sectors. not only started but then sped up the recon- approved by the cabinet, are taking only 40 “We have priorities. First agriculture, struction of infrastructure. You can see we to 45 days,” Abrantes added. then light industry, and when infrastructure are working day and night,” Abrantes said. The law also offers incentives for invest- is ready, heavier industry,” she said. “Without that, it would be impossible to di- ment in Angola’s interior provinces and Angola’s mineral wealth, besides oil and versify the economy.” forces companies to hire local staff in the diamonds, also offer opportunities for for- Angola is Africa’s second-largest oil pro- medium-term of project lifecycles. eign investors. ducer after Nigeria and crude output repre- Angola has a poor record in fighting cor- “We know the mineral resources we have, sents 45 percent of the country’s GDP and ruption, but Abrantes said the type of “se- and we are putting together a guide for in- over 95 percent of export revenues. rious” investors the country wants to attract vestors, showing what each province holds,” Oil has helped it post rapid growth after follow the laws and are not put off. Abrantes said. a long civil war ended a decade ago - GDP “You can say there is corruption, and it “But it comes back to infrastructure. No- is expected to expand over 10 percent this exists, but there is no country in the world one can export minerals without roads.” year - but analysts say it must diversify its without it. No foreign investor who bribes ANIP expects its main overseas investors economy to reduce the possible effects of an Angolan can come and complain after- - China, Portugal, Brazil and the United crude price drops. wards,” she said. States, the latter though often through “fis- The government has recognized this Since her appointment in November, the cal paradises” like the Cayman Islands - to need, and last year passed new rules for for- agency has approved 23 projects, totaling 1.84 remain strong partners, but others are queu- eign investment, offering incentives such billion euros in proposed investment, she said. ing up too. as tax breaks, reduced red tape and giving Angola is the largest recipient of foreign “We have some Italian and Spanish in- ANIP more authority to approve the incen- direct investment in sub-Saharan Africa, vestors, Germany last year signed coopera- tives for various sectors. with data from U.N. agency UNCTAD tion deals, Japan and Argentina have sent Some investors say the approval of proj- showing inflows of nearly $10 billion in delegations recently, and France has also ects under the law is slow, but Abrantes said 2010, though down from $16.5 billion two shown interest,” Abrantes said. ANIP has kept to the timetables. years earlier due to the global financial crisis. “That shows there is a great appetite for “The law sets deadlines, including for Abrantes said those flows include invest- our market.” the president, who has to approve projects ments in oil projects, adding that inflows for above $10 million, which shows we are will- non-oil sectors alone came in at $13.6 bil- Reporting by Shrikesh Laxmidas; Editing by ing,” she said, adding that delays have often lion in 2007-2011. Hugh Lawson

12 Africa investment summit 2012

StanChart eyes $2.5 billion of Africa revenue in five years

By Helen Nyambura-Mwaura and Enos Phosa JOHANNESBURG, april 18, 2012

tandard Chartered aims to double its African revenues to $2.5 billion Sin the next five years and is mulling opportunities in fast-growing economies such as Senegal, its head of Europe, the Middle East and Africa said on Wednes- day. The London-based emerging markets lender spans Asia and Africa, but lacks exposure to slow-growing European mar- A woman walks down the stairs of the Standard Chartered headquarters in Hong Kong. kets or U.S. subprime mortgages, making it REUTERS/BOBBY YIP one of few Western banks with the money to expand operations in the under-served continent. “My first preference always is organic liquidity levels in line with tough new glob- “If my business was $1.3 billion last year, growth. We will look at inorganic options,” al rules known as Basel III to be phased in my aspiration and ambition is that within he said. from 2013 aimed at creating a bigger safety the next four to five years, that gets to $2.5 “We get approached all the time. If the net. billion, roughly double,” V. Shankar told price, culture, fit and synergy is right, we “International banks are becoming a di- the Reuters Africa Investment Summit. should look at it to be responsible to share- minishing breed. So there will be a handful The growth will entail increasing head- holders, but I haven’t found anything that of international banks (and) South African count past the current 7,000 and adding an makes me excited.” banks becoming more and more focused extra 100 branches across the continent by on Africa or the emergence of new regional FEAST OR FAMINE 2015 from 160 presently, he said in an in- champions like Ecobank,” Shankar said. terview at Reuters offices in Johannesburg. Standard Chartered said its fastest growing Standard Chartered jumped into fourth Seven of the 16 African countries that segment of the market is Islamic finance. In place on African investment banking fee Standard Chartered operates in made rev- Pakistan, the financing that complies with league tables in the first quarter of this year, enues of over $100 million each last year, Islamic laws of lending, is growing three whereas it did not appear in the 10 top Shankar said. times faster than the traditional conven- spots in the same period a year ago. The group is also exploring the possibil- tional market. “It’s a business much like the Masai ity of entering fast-growing markets such There is also increasing interest for yu- Mara,” he said, referring to the Kenyan as Senegal, Mozambique, Ethiopia and an-denominated bonds from African firms game reserve famous for a carnivore feed- South Sudan. with business in China or those just looking frenzy during a few months of a wilde- Africa will have more of the fastest ing to diversify their investor base, Shankar beest migration. growing economies in the world this year said. “It is feast or famine. You sometimes and next - with 12 countries in the top 25, Shankar said with some Western banks hunt the big elephants and you land them, according to a research note from Renais- retreating from frontier markets such as and you move up the league tables and fee sance Capital on Wednesday. Africa, local and regional banks on the tables, but sometimes you go hungry.” Asia will have 11 while Latin America continent would bite off a bigger share of will manage just two. the market. Additional reporting by Tebogo Mahlaela and Shankar said the London bank was not The world’s biggest banks are raising bil- Tshepo Tshabalala; Editing by David Dolan actively hunting for acquisitions. lions of dollars to increase their capital and and Jon Loades-Carter

13 Africa investment summit 2012

Nakumatt: From mattress shop to African chain

By Duncan Miriri He said Burundi and South Sudan were dominate the southern part of the conti- NAIROBI, april 19, 2012 the next targets and space had already been nent and are opening stories in West Af- identified in both. rica. akumatt, Kenya’s largest retailer, “It is a 12-18 months project to get what “We are looking at how we can take this plans to expand across Africa we want,” Shah said at the Reuters office in brand to the west, to the south and north. Nby focusing on opening stores in Nairobi. The stores would cost between 2 Of course once we get onto Ethiopia there more eastern Africa countries over the next and 3 million euros. is nothing stopping us going all the way,” two years, its managing director said. Shah said he was not concerned at the he said. After starting three decades ago as a growing conflict between South Sudan and SUITORS small mattress shop in the provincial town Sudan, expecting it to be resolved by the of Nakuru, family-owned Nakumatt has time Nakumatt moved in. At least 10 parties were interested in a 25 grown into a firm with $500 million annual Shah said he was also looking to set up percent stake that Nakumatt is selling to turnover and pan-African ambitions. a joint venture in Ethiopia, one of the most fund expansion, Shah said, illustrating the It aims to raise sales to 50 billion shillings populous countries in Africa, and hoped to potential of a sector with annual growth of ($600 million) this year from last year’s 40 be established in a couple of years. 15-20 percent even before accounting for billion, at its 36 stores in Kenya, Uganda, Nakumatt then aims to turn its sights any takeovers. Rwanda and Tanzania, Atul Shah told the to the rest of the continent, going head- “Everybody is talking about Africa, es- Reuters Africa Investment Summit. to-head with South African retailers who pecially east Africa, which is growing faster than any other region,” he said. The interested parties include larger foreign chains and private equity firms. “Pri- vate equity would be more favorable for us,” he said. Strong economic growth rates in Af- rica in recent years have given rise to a new breed of consumers, helping drive up shares in local retailers such as Kenya’s Uchumi, which are up 85 percent this year to date. Consumers have also caught the eye of global retailers such as Wal-Mart, which acquired South Africa’s Massmart last year in a $2.4 billion deal. Shah, a 40-year veteran of the retail business, said consumer patterns have changed in the last five years. “At one time it was price, price, price. Now it is not price any more, it is brand, quality,” he said, adding that shoppers want “the latest of everything” as populations grow and middle classes expand. “The growth is assured for the next 10 years,” he said.

Editing by Yara Bayoumy and Matthew People shop at a Nakumatt store in an upmarket area of Nairobi. REUTERS/noor khamis Tostevin

14 Africa investment summit 2012

Africa to be next boomtown for private equity

By Cosmas Butunyi and David Dolan industries which benefit from the rise of JOHANNESBURG, april 19, 2012 African consumer spending. While there is much excitement about frica is the next big thing, just ask Nigeria, the continent’s most populous Bob Geldof and other private eq- country and an oil producer, investors Auity bankers. should not neglect east Africa, said Alex- The Irish rocker made headlines in Feb- Handrah Aime, a Johannesburg-based di- ruary when he announced the launch of his rector at Emerging Capital Partners. $200 million “8 Mile” fund, a sign the Live Singer and political activist Bob Geldof (L) speaks The region, which includes Kenya, Ugan- Aid organiser had turned from promoting during a news conference on the situation in the da, Tanzania, Burundi and Rwanda, is at- debt forgiveness to private enterprise. Horn of Africa at the U.N. headquarters in New tractive given its robust demographics, GDP Like the former Boomtown Rats front- York. REUTERS/Jessica Rinaldi expansion and economies that are not solely man, more private equity investors are reliant on oil to fuel their growth, she said. flocking to the continent, drawn by the “We really see Kenya leading the path, prospect of outsize returns. $125 billion government pension fund told being an entry point or a gateway into the The signs of Africa’s stunning potential are Reuters last week it could invest as much rest of east Africa, and quite a compelling obvious: 6 percent average GDP growth, fast- as $3.8 billion in private equity to boost its one,” she told the Summit in Johannesburg. rising incomes and abundant resources. So far, Africa exposure. Still, private equity investors face their much growth has been beyond the reach of “(African) markets are characterized by own challenges, particularly in exiting their international investors given the region’s small thinly listed equities. So what is likely go- investments. In more developed markets, and largely illiquid capital markets. ing to drive us going forward is private eq- funds can exit via an initial public offering. But for private equity firms, with their uity, developmental funding and property,” In many smaller African markets that is not natural bent toward unlisted companies Elias Masilela, the head of Public Invest- an option. and longer investment horizons, Africa’s ment Corporation, said in an interview “The trick in private equity is not invest- hurdles are not insurmountable. ahead of the Summit. ing, it is divesting,” V. Shankar, Standard “I tell our investors that I think Africa is Chartered’s head of Europe, the Middle BIG RETURNS still probably the best-kept secret because East and Africa told the Summit. we continue to make superior returns,” The attraction is of course in the hefty re- Standard Chartered, the London-based John van Wyk, the co-head for Africa at turns. Bankers say private equity investors bank, also has a private equity business in emerging markets private equity firm Actis, generally expect a return well above twice Africa. told the Reuters Africa Investment Sum- their initial investment when putting mon- But bankers say they are increasingly mit this week. ey into the continent. seeing interest from Brazilian, Chinese and Actis, which also has a presence in Asia That is a reflection of Africa’s higher Indian buyers looking to get a foothold in and Latin America, is aiming to invest $300 risk - both real and perceived - and greater the region. Over time, that is likely to give million a year in Africa, with the bulk of growth potential when compared to devel- private equity firms more exit options. that in the continent’s biggest economies, oped markets, bankers say. “Exit is one of the biggest questions we South Africa, Egypt and Nigeria. Investors in many of Africa’s public capital ask ourselves at the time we enter into a U.S. firm Carlyle Group LP, which set markets have not been so lucky as of late. deal. We try and invest in businesses that up shop on the continent last year, is now Over the last two years, South Africa’s will have strategic appeal to a trade buyer,” looking for investments across sub-Saharan stock market has risen 11 percent in dollar said Actis’s van Wyk. African and particularly in Nigeria, its Af- terms, while Nigeria’s has tumbled 27 per- “If you have made the right acquisition rica co-head told the Summit. cent and Kenya’s 20 percent. initially, there is no shortage of potential Even domestic pension funds are inter- Bankers told the Summit they are par- trade buyers when you come to sell.” ested. ticularly interested in infrastructure, con- The chief executive of South Africa’s sumer goods and financial services, all Editing by Jon Loades-Carter

15 Africa investment summit 2012

Africa’s stunning growth doesn’t come cheap

By Helen Nyambura-Mwaura an investment destination has risen to fifth would be aggressively priced and one would JOHANNESBURG, april 19, 2012 place this year from seventh in 2011, ac- have to take a view if it’s worth it,” he said. cording to a survey by the Emerging Mar- Diageo coughed up a frothy $225 mil- here is a lot of hype and excitement kets Private Equity Association. lion for an Ethiopian state brewery last around Africa as the next hot spot Opportunities traditionally existed in year, months after Heineken paid $163 Tfor global investors but what they mining but speakers at Reuters Africa In- million for two other beer makers there. are quickly learning is that acquisitions do vestment Summit this week have pointed Private equity firms need to avoid auc- not come cheap. to consumer and banking services sectors as tions to keep a lid on valuations, according Africa, long seen as a basket case and the next big thing. Alex-Handrah Aime, a director at Africa- only good as a source of minerals and met- Actis, another private equity firm in focused Emerging Capital Partners. als, is turning around: democracy is taking emerging markets, said it was recently out- The private equity firm is opening an of- root, wallets are getting fatter and popula- bid in a North African deal by a trade buyer fice in Nairobi, its seventh office on the con- tions younger. The International Monetary that offered 12 times EBITDA, or earnings tinent, to snatch east African opportunities. Fund sees sub-Saharan Africa growing at before deductions such as tax and interest. “It’s a competitive process. If you end up 5.4 percent this year against 1.4 percent for Valuations on the continent are, how- in an auction situation ... the person who rich economies. ever, cheap compared with price demands pays the most is going to win. That’s not Buyers seeking a piece of that future in bigger emerging economies in Asia. necessarily the valuation that is going to be growth are having to pay a premium now “Valuations, depending on the sector, most sensible,” she told Reuters. because sellers know opportunities with can be quite high but ... compare that to the One way of bridging the valuation gap is scale are slim. Also, new investors come 16 times EBITDA multiple you are being for buyers to start with a convertible bond, expecting bargains because the continent is asked for in India or China, that’s kind of instead of taking up equity at the onset, seen as poor. stratospheric stuff,” said John van Wyk, the Aime said. “Valuations on the whole are chal- firm’s co-head for the region. Some investors have simply walked lenging at the moment, but that doesn’t One banker said new investors on the away from hefty prices. mean you can’t find individual opportuni- continent came with preconceived ideas of South Africa’s second-largest banking ties,” said Marlon Chigwende, co-head of where valuations should be, which was of- group FirstRand dropped its bid for Nige- sub-Sahara for private equity firm Carlyle ten their first mistake. ria’s Sterling Bank last year after the two Group. “It’s one of those things that kill me when disagreed on price. Some bankers say Africa’s biggest tele- people come to Africa: very few people really Vendors are playing hard ball knowing coms operator MTN is a good example of know anything about Africa but most peo- well that suitors are desperate to get a toe- a company that paid what was considered ple come to Africa with a view that ... they hold on the world’s next hot property de- a hefty price at the time, for the right to have a right to project a view on Africa,” he spite the problems the continent has yet to start operations in Nigeria just over a de- said, preferring to remain anonymous. shake off. cade ago. “We are quite bullish about the conti- FINDING THE RIGHT TARGET It paid $285 million for a mobile license nent but Africa doesn’t come without its in Africa’s most populous country. Now it Even where companies are willing to pay challenges,” Actis’ van Wyk said. has over 41 million subscribers and banked a premium for a good target, companies of “If you look at the performance of in- revenues of 34.9 billion rand ($4.47 billion) the right size are hard to come by. Every vestments we have acquired in our most re- in 2011. big African brewer, for example, has been cent fund, I think there is reason to be quite The world’s biggest retailer Wal-Mart spoken for, according to SABMiller’s head bullish.” bought a majority stake in South Africa’s for the region, Mark Bowman. $1 = 7.8106 South African rand Massmart for $2.4 billion in 2011, a 19 “No one is getting anything for a rea- percent premium to the 30-day volume sonable price any more, you are paying for Additional reporting by Enos Phosa, Tebogo weighted average price. a future opportunity a significant premium. Mahlaela and Tshepo Tshabalala; Editing by Sub-Saharan Africa’s attractiveness as Anything that would become available Jon Loades-Carter

16 Africa investment summit 2012 summit speakers

Uhuru Kenyatta Hon. Saviour Kasukuwere David Sanders Deputy Prime Minister Minister of Youth Development, Chief Investment Officer Government of Kenya Indigenisation and Empowerment Invest AD Asset Management Government of Zimbabwe

V. Shankar John Coulter Atul Shah Group Executive Director & CEO - Senior Country Officer, Managing Director Europe, Middle East, Africa & Americas sub-Saharan Africa Nakumatt Supermarkets Standard Chartered JP Morgan Chase & Co

Sanusi Lamido Sanusi Bayo Adelabu Bismarck Rewane Governor CFO CEO Nigerian Central Bank First Bank Nigeria Financial Derivatives Company Limited

Muhammad Ahmad Hendrik du Toit Ahmed Issack Hassan Director General CEO Chairman National Pension Commission Investec Asset Management Kenya electoral commission (PenCom)

Mustafa Chike-Obi Gachao Kiuna Alex-Handrah Aime CEO CEO Director Asset Management Corporation of TransCentury Emerging Capital Partners Nigeria (AMCON)

Marlon Chigwende Gareth Ackerman Arunma Oteh Co-head, Africa Executive Chairman Director General Carlyle Group Pick n Pay Stores Security Exchange Commission, Nigeria

Mike Upton Elias Masilela Adeolu Bajomo CEO CEO Executive Director Group Five Public Investment Corporation Nigerian Stock Exchange

John van Wyk Emeka Emuwa Phillips Oduoza Co-head, Africa Citi Country Officer (CCO) and CEO Actis Managing Director United Bank for Africa Citibank Nigeria Limited

Mark Bowman Bob Collymore Managing Director, Africa CEO SABMilller Safaricom

FOR MORE INFORMATION: Benjamin Beavan Reuters Summits Executive [email protected] David Dolan Senior Correspondent [email protected]

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