Angolan President Joao Lourenco has cancelled a $1.3-billion real estate tender that had been awarded to his predecessor’s daughter, Isabel dos Santos, the presidency said Tuesday.
In a decree, it said the contract had been cancelled “after establishing overcharging” and denounced a “violation of moral principles”.
In January 2016, former president, Jose Eduardo dos Santos approved a tender awarded to several companies -including Urbinveste, in which his daughter Isabel is the main shareholder.
The tender was for the construction of a new suburb in the capital Luanda.
Isabel, the former president’s oldest daughter and believed to be the richest woman in Africa, said on Twitter on Monday that the allegations of “over-invoicing are unfounded”.
“There is a will by new Angolan executive to demonstrate, even without any facts and without proof, that those who worked at the time of the previous executive were dishonest,” she tweeted.
In a statement, Urbinveste described the cancellation of the contract without proof “of overcharging” as “incomprehensible … and incoherent”, saying it had followed public procurement procedures.
Relations between Dos Santos’s family and Lourenco have soured since the former handed over power in 2017, after 38 years in office.
The new president has embarked on a large-scale clean up of government and state-owned companies, targeting the ex-leader’s relatives.
Within three months of taking control of Angola, Lourenco sacked Isabel as head of the state-run oil company and set about dismantling the empire built by Dos Santos.
Last year, Dos Santos’ son was fired from his position as head of the sovereign wealth fund.
Most of the dos Santos family are now abroad.
PepsiCo to buy South Africa’s Pioneer Foods for $1.7 billion
PepsiCo has offered 110 rand per Pioneer ordinary share in what would be its second largest deal since 2010
PepsiCo has struck a deal to buy South Africa’s Pioneer Food Group for $1.7 billion, the companies announced on Friday, lifting Pioneer’s shares and boosting a sector that has been hit by drought and tough trading conditions.
The U.S. drinks and snack group see Pioneer Foods’ product portfolio as complementary to its own and would help PepsiCo to expand in sub-Saharan Africa by adding manufacturing and distribution capabilities.
“Pioneer Foods forms an important part of our strategy to not only expand in South Africa, but further into sub-Saharan Africa as well,” PepsiCo Chairman and CEO Ramon Laguarta said in a statement.
PepsiCo has offered $7.89 per Pioneer ordinary share in what would be its second largest deal since 2010, the companies said, with the news lifting the South African company’s shares by 29.32% to more than 100 rand.
Shares in agribusiness investment company, Zeder Investments, which holds Pioneer as part of its portfolio, also rose more than 22%.
“It’s a vote of confidence in South Africa at a time when we really need it,” Pioneer CEO Tertius Carstens says.
Food producers have struggled amid a slump in retail sales as consumers cut back and dry weather hit maize and other produce.
Pioneer, which uses maize in many of its products, reported a decline in half-year earnings in May, weighed down by shortages in the staple food.
“It’s almost a signal to other overseas companies that we are open for business. If PepsiCo is willing to put money down it may lift sentiment of other foreign investors that might come looking at South Africa for bargains,” said Greg Davies, equities trader at Cratos Capital.
Pioneer, whose brands include Weet-Bix cereal, Liqui Fruit juice and Sasko bread, is the latest consumer goods firm to be the target of a buyout after South Africa’s Clover Industries, which processes products including yoghurt, beverages, and olive oil, began takeover talks with a consortium of companies called Milco SA last year.
Pioneer was in talks over a potential deal with “a multinational organisation” in 2017, but that fell apart after South Africa’s credit rating was cut to junk status.
Kenya launches Africa’s biggest wind farm worth Ksh7 billion
The wind farm will deliver 310 megawatts of renewable power to Kenya’s national grid
Kenya on Friday inaugurated Africa’s biggest wind power plant, a mammoth project in a gusty stretch of remote wilderness that now provides nearly a fifth of the country’s energy needs.
The Ksh7 billion ($680 million) project, a sprawling 365-turbine wind farm on the eastern shores of Lake Turkana, is delivering 310 megawatts of renewable power to the national grid of East Africa’s most dynamic economy.
The largest private investment in Kenya’s history, the Lake Turkana Wind Power project was beset with delays and took nearly a decade to rise from the arid landscape 600 kilometres (372 miles) north of Nairobi.
Today, the windmills — scattered across Turkana’s stark lunar landscape and rocky hills — deliver 15 per cent of Kenya’s entire installed capacity, connected to the national grid through a 428-kilometre power line.
“Today, we again raise the bar for the continent as we unveil the single largest wind farm,” said President Uhuru Kenyatta, after touring the project.
“Kenya is without a doubt on course to become a world leader in renewable energy.”
Turkana Corridor –
The project lies in a natural corridor dubbed “the windiest place on earth” and promises to harness this endless power at low cost.
The nearly-50 metre turbines were engineered to handle the fierce gusts that tear through the “Turkana Corridor”, a wind tunnel that generates optimal conditions, year-round.
The winds howling near constantly through the barren valley deliver double the load capacity enjoyed by similar projects in America and Europe.
“It is unprecedented. This is one of the most consistently windiest places in the world,” said Rizwan Fazal, the executive director of the Lake Turkana Power Project.
A Herculean effort was needed to construct the behemoth wind farm in Kenya’s farthest extremes.
The windmills, manufactured by Danish company Vestas, had to be brought one-by-one overland from the Kenyan port of Mombasa, some 1,200 kilometres away.
Each one was customised so its different segments could be packed “like Russian dolls”, the company said
More than 2,000 trips were needed to bring all the materials from port to plant.
Some 200 kilometres of road leading to the site had to be tarred to allow trucks through.
Another 100 kilometres of internal roads linking the turbines dotting the hot, desert horizons were also constructed.
‘Incredible journey’ –
The project, far more ambitious in scale than rivals elsewhere on the continent, has been closely watched as a case study of investing in renewables in Africa, where demand for energy is soaring as economies grow and populations swell.
In Kenya — which relies heavily on hydropower and geothermal — power is unreliable and costly, hindering business as energy-intensive sectors such as manufacturing look to take off.
Kenyatta has previously committed to 100 per cent renewable energy for Kenya by 2020 — a pledge the government has been accused of betraying with plans to build a coal-fired power plant off the coast in Lamu.
That project — deemed unnecessary by experts — has been stalled by legal challenges.
The Turkana wind farm involved years of planning and construction but the turbines went up quicker than one a day, with the last raised in March 2017, ahead of schedule.
But difficulties in financing the transmission line, being laid by state-owned power company Ketraco, and problems acquiring land, meant this landmark project didn’t connect to the grid for another 18 months — in September 2018.
“The farm was built on time. But the project can only operate if you can bring power to the client,” said Catherine Collin, East Africa head of the European Investment Bank.
The EU’s lending facility loaned $200 million for the project, which received other finance from a consortium of European and African companies
“There was a delay, there was a few difficult moments, I have to say, for everybody, but in the end we all made it,” Collin said.
Fazal said it had been “an incredible journey” but more than anything it let the world know Kenya’s untapped clean energy markets were open for business.
“It sends a very strong signal about Kenya being ripe for projects,” he said.
Coscharis Group, Renault form partnership in Nigeria
Logans and Dusters will be assembled in the existing Coscharis Assembly facility in Lagos
French carmaker, Renault and Nigerian conglomerate, Coscharis Group have formed a partnership to assemble and distribute Renault vehicles in Nigeria, the companies have announced.
The Coscharis Group plant will start assembling Renault Logan and Renault Duster vehicles and will distribute the cars through their sales network throughout Nigeria from October.
Logans and Dusters will be assembled in the existing Coscharis Assembly facility in Lagos, where it already puts together the Ford Ranger at the SKD plant, while Renault’s Kwid and Oroch vehicles will be imported from Brazil.
“With a population of over 200 million, Nigeria is a strategic African country where Groupe Renault will extend its footprint,” said Fabrice Cambolive, senior vice president and chairman of Africa, Middle East and India Pacific region of Renault.
Renault has an 18% market share on the African Continent and sold more than 216,000 vehicles in 2018. The most important countries in sales volume are currently Morocco, Algeria, South Africa and Egypt.
Coscharis Group, established in 1977, is a wholly-owned Nigerian conglomerate with interests in various sectors, which include automobiles, information and communications technology, logistics, agriculture, food & beverages, property and health, among others.
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