Barclays Africa lists on JSE, replacing Absa by Gillian Jones, 02 August 2013, 12:57 Facebook LinkedIn Pinterest Messenger Share Email Clip this article Related articles Africa a ‘core focus area for growth’ for Absa, Barclays Absa not planning any more deals for now Special dividend fails to save Absa Related multimedia Ramos comments on Absa’s interim results In this article JSE-listed companies: Absa Companies and organisations: Barclays BARCLAYS Africa listed on the JSE on Friday, using the code BGA, following Absa Group’s R18.3bn acquisition of Barclays’ African business. In terms of the deal, Barclays has increased its 55.5% stake in Absa to 62.3% through the issue of 129.5-million ordinary shares by Absa to create the new entity, named Barclays Africa. The change took effect on Friday but the group will retain the Absa branding for its South African operation. Barclays Africa will include more than 1,300 outlets and 10,400 ATMs across 10 countries. The bank will be branded Barclays in Botswana, Ghana, Kenya, Mauritius, the Seychelles, Tanzania, Uganda and Zambia. Barclays Bank Kenya and Barclays Bank Botswana will remain listed on their respective exchanges. Wendy Lucas-Bull, chairman of Barclays Africa Group, said the deal would improve Absa’s long-term growth prospects while Barclays would benefit from its presence in Africa. "Barclays understands that Africa offers great opportunity, which is why it is one of its core pillars of future growth," Ms Lucas-Bull said. Barclays CEO Antony Jenkins recently said Africa was the group’s largest region after the UK and US. It contributed more than 10% of Barclays’ first-half profit before tax. Absa said if the enlarged Barclays Africa portfolio had been included in the interim results it released this week, it would have added 19% — or R874m — to its earnings. Absa on Tuesday reported an 8% increase in diluted heading earnings per share to 649c for the six months ended June. This was below market expectations, leading to a 7% plunge in the share price on the day the results were announced.
Posted on: Sat, 03 Aug 2013 07:39:11 +0000