Major International Business Headlines Brief::: 03 March 2020

[Bulls n Bears]

 <http://www.bulls.co.zw/> Bulls.co.zw        <mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments        <http://www.bulls.co.zw/blog> Bullish Thoughts        <http://www.twitter.com/BullsBears2010> Twitter         <https://www.facebook.com/BullsBearsZimbabwe> Facebook           <http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn          <mailto:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

 


 

 


Major International Business Headlines Brief::: 03 March 2020

 


 

 


 <http://www.nedbank.co.zw/> 

 


 

 


 

 

ü  Under pressure, AJN Resources scraps planned Kibali stake purchase

ü  Bidvest seeks more hygiene sector deals

ü  South Africa's Ramaphosa makes case for containing public wage bill

ü  Zambian agriculture business launches $81 mln farmer financing scheme

ü  Kenyan shilling broadly stable as charity flows lend support

ü  Shell's Bonga oilfield in Nigeria to undergo maintenance -spokesman

ü  Egypt's Suez Canal revenues at $458.2 million in Feb

ü  Absa PMI falls to lowest in over a decade

ü  Angola's Sonangol to begin selling assets in April

ü  After a US$1 trillion wipeout, emerging markets bank on stimulus

ü  How Could The Coronavirus Outbreak Impact Alitalia?

ü  Roundtable: how should air traffic control attract new talent?

ü  Free Deliveries May Answer African Online Commerce Challenge

ü   

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Under pressure, AJN Resources scraps planned Kibali stake purchase

JOHANNESBURG (Reuters) - AJN Resources has scrapped a plan to purchase a 10% stake in Congo’s biggest gold mine from state-owned gold firm SOKIMO, buckling to pressure from Barrick, the operator and 45% stakeholder of the Kibali mine which opposed the deal.

 

The Canadian junior miner’s shares tumbled nearly 50% last week after Reuters reported Barrick issued a cease-and-desist notice to block the Kibali stake purchase.

 

“As a result of its due diligence and further information received, [AJN] will not proceed with its proposed acquisition of SOKIMO’s 10% free carried interest in the Kibali Gold Mine,” the company announced in a release late on Sunday.

 

The transaction would have required approval from both Barrick and Anglogold Ashanti, each of whom own 45% of Kibali.

 

Congolese civil society groups added to the pressure on AJN, demanding transparency over the deal and asking why SOKIMO’s stake sales were not subject to an open tender.

 

AJN said it was continuing due diligence on other projects it plans to acquire from SOKIMO (Société Minière de Kilo-Moto), namely 30% stakes in Zani-Kodo, Nizi, and Kibali South, and 35% stakes in Giro Goldfields and Wanga (Tendao).

 

AJN Resources’ Frankfurt-listed shares were up 5.1% by 1026 GMT on Monday after the announcement.

 

 

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Bidvest seeks more hygiene sector deals

JOHANNESBURG (Reuters) - Bidvest is on the look out for more acquisitions in the hygiene business to build on its purchase of British-based hygiene service provider PHS Group announced in December.

 

Bidvest, whose businesses include freight, automotive and aviation services, is betting on growth drivers such as urbanisation, demand for better hygiene and safety standards as well as a growing and ageing population to boost hygiene market growth.

 

Bidvest’s purchase of PHS Group for around 9.1 billion rand marked a move to expand beyond its South African home market.

 

“From there (PHS) you could very likely see us moving across the globe into virtually any geography,” CEO Lindsay Ralphs said during a news conference.

 

“Hygiene services have traditionally been our significant target worldwide, it’s a very large industry worldwide but quite fragmented.”

 

Ralphs said another industry Bidvest was potentially looking to expand into outside South Africa was plumbing supply, while at home it is looking for bolt-on acquisitions.

 

Bidvest reported a 3.9% drop in normalised headline earnings per share (NHEPS) for the six-months to Dec. 31 to 610.9 cents compared with 635.7 cents in 2018 after new international accounting standards and a write-off of money owed by South African Airways.

 

Excluding the effects of the IFRS 16 accounting change, normalised HEPS rose 0.1%, Bidvest said in a statement.

 

Bidvest, which owns 27.2% of airline operator Comair, said it had taken a share of Comair’s impairment of the SAA settlement owed to it.

 

In February, Comair, which operates low-cost carrier Kulula.com, said SAA had breached the terms of a 1.1 billion rand settlement agreement after it was placed under business rescue, resulting in Comair writing that claim off.

 

Trading profit increased 19.8% to 4.0 billion rand ($255.31 million), while revenue grew 9.2% as a result of the consolidation of drugmaker Adcock Ingram.

 

Ralphs said that the coronavirus outbreak was number one on Bidvest’s risk profile, with a lot of its products imported internationally.

 

“If they are not imported directly from China, a lot of the raw materials are made in China,” Ralphs said.

 

“We do have quite significant facilities of stock at the moment so there is no imminent short-term problem with regards to inventory levels. We’re making every possible contingency plan to ensure that it doesn’t disrupt our business,” he said.

 

Bidvest’s business is 35% product driven, with tools, equipments, plumbing material and some components of the automotive business made in China, but not a huge portion, he also said.

 

($1 = 15.6671 rand)

 

 

 

South Africa's Ramaphosa makes case for containing public wage bill

JOHANNESBURG (Reuters) - South African President Cyril Ramaphosa said on Monday that “focused discussions” would be needed between the government and trade unions on ways to slow the rate at which public sector wages are growing.

 

Ramaphosa used a weekly newsletter to the nation to back up Finance Minister Tito Mboweni, who proposed 160 billion rand ($10.3 billion) of cuts to the public sector wage bill during a budget speech last week.

 

Mboweni’s budget drew an angry response from unions, which can shut down parts of the economy if they don’t get their way. Some analysts have expressed scepticism that Ramaphosa’s government will be able to put an end to large annual wage increases for public servants.

 

“Our approach is not to dramatically cut the size of the public service, but to examine the rate at which wages grow,” Ramaphosa said in the newsletter.

 

“Public service wages have on average increased at a much higher rate than inflation over many years, and we need to fix this if we are to get public finances under control.”

 

Ramaphosa added that growth in the wage bill had been crowding out spending on projects that drive economic growth and items that are critical for service delivery.

 

He said Mboweni’s budget gave a “sobering assessment” of Africa’s most industrialised economy and that it was unsustainable for the country to be spending far more than it earns.

 

($1 = 15.5494 rand)

 

 

 

Zambian agriculture business launches $81 mln farmer financing scheme

LUSAKA (Reuters) - Zambia’s African Green Resources (AGR) on Sunday launched an $81 million financing programme under which the company and its partners will provide farm supplies and technology to farmers in exchange for grain.

 

As part of broader plans by AGR to invest $150 million in Zambia for projects including a 50 megawatt solar farm and irrigation dam, AGR will target 120 commercial farmers and 250,000 small and middle farmers with the new programme to boost food security in Zambia and the surrounding region, chairman Zuneid Yousuf said in a statement.

 

It will cover 60,000 tonnes of fertiliser for wheat and soya farming - worth $55 million - and $26 million for projects such as the expansion of grain storage silos. It will be financed through regional and global banks, with the money repaid from the produce the programme yields.

 

“We expect to receive 44,000 tonnes of wheat per season,” Yousuf said, some of which will be processed before being sold on local and international markets.

 

“We will repay the loan from sales of wheat flour, soya processing plant products and silo revenue.”

 

Some of the money is also guaranteed by the African Development Bank, the African Union, Sace Italy and Agriculture Grain International.

 

The farmers, meanwhile, would benefit from the ability to grow their businesses with the help of access to markets and credit finance, Yousuf added.

 

World Food Programme (WFP) estimates indicate that a record 45 million people in 16 nations in southern Africa face growing hunger after repeated drought, low yields, widespread flooding and sluggish economic growth.

 

 

 

Kenyan shilling broadly stable as charity flows lend support

NAIROBI (Reuters) - The Kenyan shilling was broadly stable on Monday as hard currency inflows from non-governmental organizations and offshore investors buying government debt helped provide support, traders said.

 

At 0853 GMT, commercial banks quoted the shilling at 101.20/40 per dollar, compared with 101.10/30 at Friday’s close.

 

 

 

Shell's Bonga oilfield in Nigeria to undergo maintenance -spokesman

LONDON (Reuters) - Royal Dutch Shell’s Bonga oilfield in Nigeria will undergo maintenance in March and April, though the impact on production and exact dates are still being finalised, a spokesman said.

 

Shell operates the offshore field via its Nigerian subsidiary SNEPCo. In March, around 153,000 barrels per day (bpd) of crude were due for export, according to a loading programme.

 

“The Bonga FPSO will be undergoing scheduled maintenance and project activities in addition to regulatory inspections during March and April. Exact dates and production impacts are currently under review,” the spokesman said.

 

So far, no April loading programme has emerged. Traders said just two cargo loading dates came out for April 1-2 and 11-12, the first of which is likely a deferral from March.

 

Bonga, known as Bonga North West, is located in the OML 118 block. Shell announced plans to develop another field called Bonga South West inside the same area. The $10 billion development is expected to add 200,000 bpd, roughly 10% of Nigeria’s current oil production.

 

However, uncertainty over future fiscal terms has delayed a final investment decision.

 

 

 

Egypt's Suez Canal revenues at $458.2 million in Feb

CAIRO (Reuters) - Suez Canal revenues increased to $458.2 million in February compared with $433.9 million during the same month last year, its authority said in a statement on Sunday.

 

The canal’s revenues were below the $497.1 million made in January.

 

The canal is the fastest shipping route between Europe and Asia and one of the Egyptian government’s main sources of foreign currency.

 

 

 

Absa PMI falls to lowest in over a decade

JOHANNESBURG (Reuters) - South Africa’s seasonally-adjusted Absa Purchasing Managers’ Index (PMI) fell deeper into contraction territory in February, sliding to its lowest since the 2009 global financial crisis as new sales and business activity tanked, the survey showed on Monday.

 

The index, which gauges manufacturing activity in Africa’s most industrialised economy, fell to 44.3 points in February from 45.2 in January, remaining below the 50-point mark separating contraction from expansion for a seventh straight month.

 

Africa’s most advanced economy has seen growth flounder in recent months due to nationwide power cuts and a steady decline in business and consumer confidence, and is unlikely to see the economy expand by much in 2020.

 

Four of the five subcomponents of the index declined, with inventories and new sales taking the hardest hit, as businesses slowed activity at a greater pace due to slack local and global economic prospects, more so as the impact of the coronavirus outbreak deepened.

 

“Eskom’s announcement of a high likelihood of load shedding during the next 18 months likely contributed to the further deterioration in sentiment regarding business conditions going forward,” analysts at Absa said in the release.

 

Treasury has cut the 2020 growth forecast to 0.9%, raising the likelihood of the South Africa losing its final investment grade credit rating from Moody’s, which could see sentiment and activity suffer even further.

 

 

 

Angola's Sonangol to begin selling assets in April

LONDON (Reuters) - Angolan state oil company Sonangol will begin in April to sell its stakes in several private firms, chair Sebastiao Gaspar Martins said, as part of a government bid to privatise key state assets including parts of Sonangol itself by 2022.

 

The eleven companies include local bank Banco BAI as well as Sonamet, Sonatip and Sonadit dedicated to metals, maritime services and the maintenance of offshore companies respectively.

 

Martins, quoted by state news agency Angop late on Thursday, said it was too early to put a value on the stakes.

 

Angola, Africa’s second biggest oil exporter, is struggling with declining oil output and economic doldrums which have galvanized authorities to streamline a bloated public sector and focus Sonangol, its largest company, on its core business.

 

Describing Sonangol as an “octopus”, the country’s minister of Mineral Resources and Petroleum, Diamantino Azevedo, has said it would need to shed stakes in everything from hotels to aviation around the world before a 30% share sale in 2022.

 

An anti-corruption drive has gathered steam since 2017, when President Joao Lourenco ended former Angolan President Jose Eduardo dos Santos’ nearly 40-year grip on politics.

 

Angola has named billionaire former first daughter Isabel dos Santos as a suspect over alleged mismanagement and misappropriation of funds while she was chairwoman of Sonangol in 2016-2017. Dos Santos has denied any corruption.

 

The Angolan state will exit full or part ownership of 81 companies this year via public tender, six by auction and three in IPOs, with 12 set to be privatized in 2021 and four in 2022, according to Angop.

 

Among the last will be Sonangol, along with state-owned diamond giant Endiama.

 

Martins said Sonangol had slashed its debt at the end of 2019 by more than half to $1.25 billion year-on-year.

 

President Lourenco sacked Martins’ predecessor Carlos Saturnino as chair of the state energy firm last year amid heavy debt and domestic fuel shortages.

 

 

After a US$1 trillion wipeout, emerging markets bank on stimulus

SINGAPORE/HONG KONG: With the world reeling from one of the biggest risk sell-offs since the 2008 global financial crisis, more Covid-19 (coronavirus)-fueled declines in emerging markets may only be tempered by the prospect of coordinated central bank action or large fiscal stimulus.

 

More than $1.1 trillion was wiped off the value of developing-nation stocks and bonds last week as the economic impact of the coronavirus worsened. Currencies and equities rounded off February with back-to-back monthly declines, while bond spreads widened by the most since August.

 

On Monday (March 2), emerging stocks and currencies reversed some of the losses after the Bank of Japan and Italy’s government announced stimulus measures.

 

Markets "may improve on central-bank pivots, with a coordinated G-20 fiscal pump not out of the question,” Stephen Innes, the Bangkok-based chief market strategist at Axicorp, said on Sunday.

 

"Given the tightening of financial conditions due to the stock-market meltdown, the US Federal Reserve will deliver to weaken the dollar. If none of this works, just pray.”

 

Developing assets tumbled in the five days through Friday as oil prices crashed and investors piled into havens, with U.S. Treasury yields dropping to all-time lows. Little was spared.

 

MSCI Inc.’s gauge of emerging equities dropped 7.3%, the most since 2011. The Russian ruble, South African rand and Colombian peso all weakened more than 4% against the dollar.

 

As the virus continued its spread last week, with Latin America and Africa confirming their first cases, expectations grew that the World Health Organisation would declare a pandemic. More airlines cut flights to affected regions, while governments increased travel restrictions, shut schools and banned sporting and entertainment events.

 

China’s manufacturing sector slumped the most on record in February, a report showed on Saturday.

 

The economy was probably only operating at 60-70% of normal capacity at the end of last month, according to Bloomberg Economics estimates.

 

Goldman Sachs Group Inc. said the world economy will probably contract on a quarterly basis in the first two quarters of this year.

 

As if the virus weren’t enough, traders head into the first week of March amid a deepening military standoff between Turkey and Russia in Syria, political turmoil in Malaysia, anti-government protests in Thailand and an upsurge in religious violence in India. Lebanon, meanwhile, may make a decision on whether to default on US$1.2bil of Eurobonds maturing on March 9.

 

Malaysia’s central bank will decide on Tuesday whether to go ahead with a second consecutive interest-rate cut.

 

The political crisis sparked by Mahathir Mohamad’s surprise resignation as prime minister has cast a pall over a slowing economy and hampers the government’s ability to curb the impact of the coronavirus. – Bloomberg

 

 

How Could The Coronavirus Outbreak Impact Alitalia?

A string of loans have been keeping Alitalia afloat since it declared bankruptcy nearly three years ago. However, the latest developments in the coronavirus are likely to have an unforeseen impact on the Italian flag carrier, further contributing to its woes. In this article we’ll take a look at how the coronavirus could impact Alitalia.

 

Alitalia in flight

What does coronavirus mean for Alitalia? Photo: Adrian Pingstone via Wikimedia Commons

Italy earmarked as European coronavirus epicenter

A few months ago, coronavirus would not have presented much of a threat to Alitalia. Back in January when the illness was first detected, the only flying restrictions in place were those to mainland China where the outbreak originated. However, in recent days, Italy has become the center of attention regarding the European transmission of the virus. It has been named as the European epicenter of the coronavirus outbreak after it became the first country on the continent to report skyrocketing cases.

 

As a result, countries have warned travelers about visiting Italy, particularly in the north. Undoubtedly, the effect of the outbreak will impact the Italian economy but it will also impact its national flag carrier.

 

 

Alitalia A320

Will Alitalia be able to stay afloat? Photo: Alessandro Ambrosetti via Wikimedia Commons

Potential damage for Alitalia

The impact of coronavirus has come swiftly and presented an unexpected problem for many airlines around the world. But now air carriers in Italy are likely to feel the effects more than others. With a medley of financial problems playing a resounding concerto, Alitalia will likely face issues regarding its future financial outlook.

 

 

Alitalia has been struggling to stay afloat since its bankruptcy in 2017. However, it has managed to stay alive with many government loans. With 2019 revenue up by 1.7%, long-haul travelers increasing by 4.7% as well as the demise of Air Italy, the future looked like it would serve Alitalia well. However, the airline will now have to contend with a reduced demand for flights to Italy because of coronavirus.

 

Passenger wearing masks near deaprtures boarding in Rome Airport

The demand for flights to Italy has fallen. Photo: Getty Images

A spokesperson for Alitalia told Simple Flying:

 

 

“As from Monday 24 February, the rate of no-show in airports of booked passengers has increased abnormally and the trend of new bookings slowed down considerably. Several disincentive guidelines for travels to Italy are producing a particular effect on the demand from foreign markets. The airline has therefore proceeded to cancel services with a large number of unoccupied seats due to the effect that Coronavirus has determined in the flyers’ travel behavior. Overall, all the capacity reduction actions undertaken by the Company on 38 national and international routes are attributable to the lower seat demand, also due to the increased number of restrictions on flights and passengers from Italy.”

 

Of course, reduced demand for flights constitutes reduced revenue for Alitalia. It might further reduce capacity depending on the severity of the outbreak which will see it stagnate in its debt.

 

Could the coronavirus lead to Alitalia’s demise?

Ultimately, what’s at stake is Alitalia’s financial prosperity. Those figures that it recently improved upon are again likely to fall. If they do, then it could see the airline struggling to maintain its operation. That’s worrying for Alitalia because it’s unlikely to receive a government bailout.

 

In December 2019, when the airline received €400m ($447m) in loans, the government said that this would be the final lifeline that it would offer. Despite that warning, if Alitalia had proven itself in terms of revenue perhaps, it could have got a little bit more support. But with the Italian economy set to suffer from the coronavirus outbreak, it’s unlikely the government will have sufficient funding to spare. In addition, Alitalia could gather a significant loss of revenue from passenger cancellations. What revenue it may have secured in bookings no longer seems secure.

 

In the end, a lack of funding would almost certainly spell out the end of Alitalia. That said, the day is still young and no one can be sure just how long coronavirus will last.

 

Uncertainty over the coronavirus impact

Traveler in Milan amid coronavirus

Passengers are still traveling to Italy despite coronavirus. Photo: Getty Images

Only time will tell how long coronavirus continues to pose a threat to Italian air travel and how long it will take for travelers to regain their trust in Italian tourism. Whilst the country has experienced a drop in demand, people are still traveling to Italy.

 

Could the business that Alitalia receives whilst the coronavirus is at its worst be enough to keep it afloat? After all, almost every airline that serves Italy is suffering a decreased demand.

 

If that’s possible, then Alitalia might be able to stay out of danger post-coronavirus. It’s already taking steps towards making itself more profitable. But will it be enough?

 

Will Alitalia be able to prosper during the coronavirus outbreak? Let us know your thoughts.simpleflying.com

 

 

 

Roundtable: how should air traffic control attract new talent?

A global shortage of air traffic controllers is being exacerbated by huge demand for flights, so how can new talent be attracted to an industry infamous for high stress levels but rich with rewards? In this roundtable, experts from across the industry give Varsha Saraogi their take on how air traffic controllers can persuade more young people to consider ATC as a career option.

 

 

Varsha Saraogi: What are the recruitment challenges facing air traffic controllers?

Head professors of MSc Air Transport Management at De Montfort University, Lucy Budd and Stephen Ison (LB & SI) :

 

A key challenge is that the role of an air traffic controller is not very visible as they are usually hidden from public view in control centres and air traffic control (ATC) towers. It’s often said that people cannot be what they cannot see and so lack of awareness of the role is hindering recruitment. There is also the perception that air traffic controlling is a demanding and stressful job which is only suited to particular types of people.

 

According to the International Federation of Air Traffic Control Associations (IFATCA), there is a global shortage of controllers by 10% while another 15% are needed to transition to SESAR and NextGen. The shortage of controllers and global growth in demand for flights is leading to concerns about staffing levels and safety in both mature and rapidly expanding air transport markets.

 

Additionally, the demographic of controllers in some countries is ageing and as it can take three to four years for a controller to train and receive validation, existing employees are retiring faster than they can be replaced. The restrictions that some air navigation service providers (ANSPs) place on the maximum age at which a trainee can commence training also mean that workers cannot switch to controlling later in life.

 

Deputy president at IFATCA Helena Sjöström:

 

There are various obstacles. For starters, young people prefer a broader career path that doesn’t restrict them to one specific job and therefore tend to be hesitant to choose ATC which is a specialised field. If they don’t pursue it after the training, they’ve lost those years as that training is not recognised in other fields.

 

On top of that, technical aptitude is high in demand in today’s job market and therefore we are fishing in a small pool. Many service providers have stopped recruiting over the past decade because there are fewer qualified people for the job.

Will Heathrow’s third runway expansion be worth the financial and environmental cost?

 

Head of people services at National Air Traffic Services (NATS) Katie Foster (KF):

 

Very few young people are being informed about future careers in the aviation sector, including ATC, despite the role requiring no major educational qualifications to begin training, and its key benefits – a varied, rewarding, exciting, not your average 9-5 job – exactly mirror what young people have said is their perfect job.

 

Also, more widely, air traffic control is the invisible infrastructure that sits behind a lot of very successful businesses around the UK – but because it isn’t seen, NATS often doesn’t get the visibility it needs among the industry. Our research shows that jobs in retail and health were at least four times more likely to be discussed in formal career interviews with young people so it’s an issue impacting the whole aviation industry.

 

President and chief executive officer at Guild of Air Traffic Control Officers (GATCO) Luis Barbero (LB):

 

We currently suffer from a shortage of air traffic controllers worldwide. Some of the main issues are that vast majority of the public still think air traffic controllers work solely at an airport in the control tower. However, tower controllers represent the minority of air traffic controllers with the majority working in a control centre controlling aircrafts.

 

Secondly, younger generations value a good work-life balance much more than older generations. This profession with its 24/7/365 nature finds it very challenging to cater to that. Despite plenty of breaks and significant time off than others, it might require working on any day of the year – for instance, Christmas Day or weekends – which means one might miss out on family celebrations. This issue has the ripple effect of fewer women in the profession. At the moment, there are probably about 75% men and 25% women in ATC worldwide.

 

Thirdly, younger generations value opportunities which help them develop professionally within the organisation. That is something which has been overlooked in the past in ATC. The main priority is service delivery and the management of airspace and airports.

 

Strategy and integration programme manager at Civil Air Navigation Services Organization (CANSO) Michelle Bishop (MB):

 

Air traffic control isn’t a consumer-facing job and is fairly invisible. It. It tends to be a little bit more in the background and therefore maybe just not one that people consider. Plus, there have been, in some countries, myths about it being a very high-stress job. However, it is a very attractive one when people learn about it.

 

In terms of recruitment, we don’t particularly have a problem attracting people. It was this fall that the FAA did a fairly short call for applicants for traffic control only open for five days and even with minimal advertising they got almost 25,000 applications and they were only hiring about 800.

 

The challenge becomes assessing that pool of 25,000 to ensure that they were selecting the right applicants who have a significant chance of being successful through training.

 

VS: What should be done to make ATC appealing to young people?

LB & SI: A number of initiatives are being introduced by ANSPs to raise awareness of the role and make the career more appealing by demonstrating the diverse and inclusive nature of the workforce. In the UK, NATS have developed online games that test basic cognitive skills such as shape tracking, sequential memory, reactive avoidance and task prioritisation to help potential applicants assess whether or not they have the necessary aptitude to train as a controller.

 

The recruitment section of the website also features videos of female and male controllers explaining their role and the path that led to their present employment. Clearly stating the benefits and pay packages, as well as details of any financial or practical support that is offered during the training stage may be of benefit to students who are graduating with an education debt.

 

HS: There is a lot of engaging work being done by some service providers on social media to promote the job towards their target audience.

 

It is important to show that despite being a 24/7 and 365 days/year job, it’s possible to balance personal and professional life. This would encourage more women to apply.

 

KF: By 2030 its forecast is that 355 million passengers and three million flights will be flying to and from UK airports – so we need more air traffic controllers to handle that increase.

 

ATC is a career that requires specific cognitive skills and abilities which individuals may or may not know they have, so because of this we encourage people from all walks of life to apply. There’s plenty of important work which goes on behind the scenes, for instance, developing the technologies that will aid the role of an air traffic controller in the future.

 

LB: Everyone is familiar with photos of aircrafts from control towers, but how about those controllers working at a control centre. Aviation is slightly different because some kids develop that passion for flying which makes them want to become pilots. I don’t see the same passion developing for controlling an aircraft even if the interest in aviation might be there.

 

MB: It’s an issue that the aviation industry as a whole need to collaboratively work on. There is an active programme that International Civil Aviation Organization has created called the NGAP programme for the next generation of aviation professionals, where the industry get together and work on the challenge of awareness of the great jobs that exist in aviation and ensure that people consider those jobs when they’re at that stage of looking at a future career.

 

VS: How will technology change ATC jobs in the future? 

LB & SI: Automation and artificial intelligence will almost inevitably change the nature of ATC roles. The transition to SESAR and NextGen will require controllers to acquire new skills and adopt new ways of working to increase resilience of the ATC system. There will always be a role for a human operator in programming, overseeing the systems and engaging in radio communication with pilots. As functions have been progressively automated, the nature and the location of a controller’s work has changed. Remote towers offer potential cost savings but their introduction may require displaced staff to relocate to centralised control facilities.

 

HS: For the foreseeable future, the job will remain strongly human-centred. Controllers will benefit from increasing support from tools and technology including artificial intelligence. This should enable an increased productivity per controller and provide additional capacity without necessarily increasing the number of controllers. There are still plenty of situations that require the flexibility and resilience only a human can provide, especially as long as we’re dealing with fellow-humans in control of the aircraft.

 

KF: NATS is investing almost £1bn in new state‐of‐the‐art technologies to help it manage the increase in traffic, but people are still at the heart of its role in keeping the skies safe and this is an exciting journey to be part of.

 

LB: The human is the critical source of the performance, safety and resilience of the air traffic management system. Any new technology – like automation – needs to be developed with the human operator in mind. The technology should work jointly with the human, complementing them, supporting them in those tasks where the technology is better.

 

MB: Air traffic control has always been a fairly high-tech job. What’s really changed is that youth are prioritising technology as they look for careers. As a result, air traffic control organisations are upping their training, changing their future requirements for air traffic controllers and making sure they keep a pipeline of trainees to meet those future needs.

 

As a result, we had to change some of our training methods as people today learn a little differently than they used to. There’s been a real trend in outsourcing the training in the industry so there’s a lot of private companies around the globe that are doing air traffic controller training for different countries.--airport-technology.com

 

 

Free Deliveries May Answer African Online Commerce Challenge

In the three years since becoming an agent for mobile e-commerce company Copia Global Inc., Samuel Kihara has boosted revenue at his general store fivefold, opened a second shop, bought land and a truck and moved his children to private school.

 

“The commissions I earn as a Copia agent have been my working capital,” Kihara, 48, said as he stood in green overalls at his small shop in Kawaida, a village 23 kilometers north of Kenya’s capital, Nairobi. “All this has been possible due to money from the business.”

 

Copia takes mobile-phone orders for goods ranging from kitchen appliances to tinned food and delivers them to remote parts of Kenya within about two days at no extra cost. That’s when Kihara and about 6,000 other agents in the country come in. They own businesses such as a shop or hairdresser that Copia can use as a central delivery point -- and earn a commission on every order.

 

Copia Story - Sguazzin

A worker displays the Copia slogan ‘Maisha Rahisi’ at a depot.Photographer: Luis Tato/Bloomberg

Copia’s slogan, Maisha Rahisi, means ‘simple life’ in Swahili. The company, founded in 2013 by American social entrepreneurs Tracey Turner and Jonathan Lewis, is still making a loss. But its sales are growing at a rate of 15% a month in Kenya, a country whose citizens have been quick to take up mobile e-commerce services ranging from money transfers to digital-loans.

 

“The model solves a number of issues in terms of merchandising that exist in rural areas on the continent,” said Future Advisory founder Herman Singh, a former executive at wireless giant MTN Group Ltd. and one-time board member of Africa’s biggest e-commerce business, Jumia Technologies AG. “The challenge is doing this at a profit. The models don’t compute unless you have huge scale on your side.”

 

750 Million

While Copia currently serves just over a fifth of Kenya’s rural population, mostly in the center of the country, Tim Steel, its chief executive officer, has bigger ambitions. His target market is Africa’s 750-million middle and low income consumers, who spend $680 billion a year.

 

Within 18 months Steel expects to have 18,000 agents, he said, and to have begun expanding into Uganda, Rwanda and Tanzania. He expects the company to turn a profit within two years, though he declined to give financial details.

 

Copia Story - Sguazzin

Workers pack orders ready for dispatch in the outer-Nairobi warehouse.Photographer: Luis Tato/Bloomberg

“We are able to deliver a package at one-sixth of the price than any other best in class e-commerce business in the world,” Steel said. We aggregate “multiple orders, rather than having a one-on-one delivery system that prices a lot of customers out.”

 

That may give Copia an advantage over rival Africa-focused online retailers such as Jumia, which has been dubbed the continent’s version of Amazon. Founded by two Frenchmen in 2012, Jumia listed in the U.S. last year to great fanfare but is also yet to turn a profit, and the stock has slumped 71% since the initial public offering. It operates in 11 African countries from Morocco to Nigeria and Kenya.

 

Read More: Amazon of Africa Van Drivers Battle Hardships on Lagos Streets

 

Malaicha.com, which allows groceries purchased in South Africa to be collected in Zimbabwe at a small number of collection points, operates a similar system to Copia, albeit on a much smaller scale.

 

“The biggest problem of Africa is always the logistics,” said Christophe Meunier, a partner at telecommunications advisory firm Delta Partners. “It is likely to take time and financial resources to be able to build those routes that are under-served and not well established at scale.”

 

Copia will need to access more finance if it is to proceed with its plans and is hopeful it can raise funding in the early part of 2021, though it isn’t yet considering a listing.

 

“We will need further investment,” Steel said.

 

Royal Help

Copia raised $26 million last year in a funding round led by LGT Lightstone, an impact investment company owned by Liechtenstein’s royal family. The company is currently owned by between 30 and 40 investors including LGT and DOB Equity, a fund based in the Netherlands, said Steel.

 

Copia Story - Sguazzin

The Copia logistics and distribution hub at Tatu City Industrial Park.Photographer: Luis Tato/Bloomberg

“It is providing middle and low-income African consumers with access to quality goods at low prices,” LGT said in a response to questions. “Copia is leap-fogging retail.”

 

So far it has been well received by Kenyan customers.

 

“The savings are great, we are happy,” said John Kamau, a 55-year-old who drives a motorized rickshaw taxi in Githurai 45, on the outskirts of Nairobi. He uses Copia to send his mother feed for her dairy cows 140 kilometers away, saving her a journey of as much as six hours to the closest outlet. “She is happy.”bloomberg.com

 

 

 

 

 

 

 

 

 

 

 

 


 

 


 

INVESTORS DIARY 2020

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


Bindura Nickel Corporation

 

 

 


Padenga Holdings

 

 

 


Delta Corporation

 

 

 


Meikles Limited

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of Faith Capital (Pvt) Ltd for general information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy or subscribe for any securities. The information contained in this report has been compiled from sources believed to be reliable, but no representation or warranty is made or guarantee given as to its accuracy or completeness. All opinions expressed and recommendations made are subject to change without notice. Securities or financial instruments mentioned herein may not be suitable for all investors. Securities of emerging and mid-size growth companies typically involve a higher degree of risk and more volatility than the securities of more established companies. Neither Faith Capital nor any other member of Bulls ‘n Bears nor any other person, accepts any liability whatsoever for any loss howsoever arising from any use of this report or its contents or otherwise arising in connection therewith. Recipients of this report shall be solely responsible for making their own independent investigation into the business, financial condition and future prospects of any companies referred to in this report. Other  Indices quoted herein are for guideline purposes only and sourced from third parties.

 


 

 


(c) 2020 Web: <http:// www.bulls.co.zw >  www.bulls.co.zw Email:  <mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77 344 1674

 


 

 

 

 

 

 

Invest Wisely!

Bulls n Bears 

 

Telephone:      <tel:%2B263%204%202927658> +263 4 2927658

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> info at bulls.co.zw  

Website:         <http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw&sa=D&sntz=1&usg=AFQjCNH8LYgdY55h-XKseuM8Kpr-JKdfhQ> www.bulls.co.zw 

Blog:            <http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw%2Fblog&sa=D&sntz=1&usg=AFQjCNFoIy6F9IXAiYnSoPSgWDYsr8Sqtw> www.bulls.co.zw/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:      <http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimbabwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA> www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 



 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 23068 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 35508 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0006.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 33732 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0007.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 31402 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0008.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 4846 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20200303/3614ee95/attachment-0009.jpg>