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05 February 2020
Hello Voornaam,

In a very curious deal, Astoria Investments is part of a consortium that's buying CNA from Edcon. They haven't put a price on the transaction and Astoria didn't issue a SENS announcement, implying that it won't be spending more than 5% of its market capitalisation of about R285 million on the deal. Still, the shift from global investor to local retailer is slightly puzzling. The good news is that Edcon says jobs won't be lost and the buyers plan to take CNA back to its roots as a seller of books, stationary, magazines and gifts.

Read on for more on that story, as well as Vodacom's plans to launch 5G in South Africa this year and a possible rights issue from Invicta. Meanwhile, it looks like City Lodge is still battling to get enough tourists and business travellers in its beds, with a warning of weaker first-half earnings. The news sent its shares lower yesterday.

Investors welcomed Glencore's full-year production report, however, sending its stock higher. Although copper output was down last year, cobalt production rose as its Katanga mine in the DRC ramped up operations.

Finally, we take a look at how you can minimise your capital gains tax liabilities using Section 12J investments. If you received Prosus shares as part of Naspers's unbundling of its international assets, it's worth taking a look.

I hope you have a good day.

Stephen Gunnion

Managing Editor, InceConnect


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Vodacom prepares for 5G rollout
The mobile network operator says a roaming agreement with Liquid Telecom means it can launch fifth generation wireless technology this year.
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Invicta mulls rights issue
The group is evaluating and undertaking a number of strategic and operational initials including a review of its capital allocation.
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Edcon offloads CNA to Astoria
A consortium majority owned by Astoria Investments plans to refocus CNA as a retailer of books, stationary and magazines.
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How to avoid the Naspers / Prosus capital gains tax event this financial year
Its old news by now that Prosus shareholders have found themselves in a situation where their share issue has left them with a tax event and...
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Glencore benefits from Katanga ramp-up
The commodities producer and trader grew cobalt production by 10 percent as it boosted output at the DRC mine.
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City Lodge warns of lower earnings
The hotels group says trading conditions have been weak and it has also been impacted by the implementation of new accounting standards.
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