Sub-Saharan African investment banking fees reached US$305.9 million during the first nine months of 2015‚ 4% more than the value recorded during the same period of last year‚ the latest Thomson Reuters quarterly investment banking analysis for the region shows.
“The value of announced M& A transactions with any Sub-Saharan African involvement reached US$23.4 billion during the first nine months of 2015‚ 12% more than the value registered during the same period in 2014‚” Sneha Shah‚ Managing Director‚ Africa‚ Thomson Reuters‚ said.
“Sub-Saharan African equity and equity-related issuance totalled US$2.0 billion during the third quarter of 2015‚ a 104% increase in value from the second quarter of the year. Despite the quarterly increase‚ Sub-Saharan African ECM declined 16% year-on-year to reach US$5.4 billion during the first nine months of 2015‚” she noted.
Shah pointed out that Sub-Saharan African debt issuance reached US$2.7 billion during the third quarter of 2015‚ 23% less than the value raised during the previous quarter and the lowest quarterly total since the first quarter of 2014.
In respect to investment banking‚ fees from completed M& A transactions totalled US$116.6 million‚ a 49% increase from the comparative period last year‚ the highest first nine month period since 2011. Fees from debt capital markets underwriting also increased 20% year-on-year to reach US$39.9 million.
Syndicated lending fees fell 22% compared to a year ago to US$60.7 million. Equity capital markets underwriting fees declined 16% to US$88.8 million‚ and accounted for 29% of the overall Sub-Saharan African investment banking fee pool.
Rand Merchant Bank earned the most investment banking fees in Sub-Saharan Africa during the first nine months of 2015‚ a total of US$38.7 million for a 12.6% share of the total fee pool. Rand Merchant Bank topped the completed M& A fee rankings during the first nine months of 2015 and also took the lead for ECM underwriting fees. Citi and Zenith Bank earned first places for DCM underwriting and syndicated loans fees‚ respectively.
As for mergers and acquisitions‚ outbound activity slowed down 34% compared to the first nine months of 2014 to reach US$3.8 billion.
South Africa’s overseas acquisitions accounted for 64% of Sub-Saharan African outbound M& A activity‚ while acquisitions from Mauritius and Seychelles companies accounted for 27% and 6%‚ respectively. Inbound M& A also saw a decline‚ down 6% to US$5.6 billion.
Domestic and inter- Sub-Saharan African M& A reached US$8.3 billion‚ up 39% year-on-year‚ the highest first nine months total since 2010. The Financials industry was the most active sector‚ accounting for 18.5% of
The largest M& A deal with Sub-Saharan African involvement during the first nine months of 2015 was the US$1.8 billion offer from Sonangol EP to acquire a 40% ownership interest in Kwanza Basin Blocks 21/09 20/11‚ producer of crude petroleum and natural gas‚ from Cobalt International Energy Inc.
Rand Merchant Bank topped the First Nine Months 2015 announced any Sub-Saharan African involvement M& A league table with US$4.3 billion.
Speaking about equity capital markets‚ Shah noted that five initial public offerings raised US$173.8 million and accounted for 3% of first nine months activity in the region‚ while follow-on offerings and convertibles accounted for 74% and 23%‚ respectively.
Steinhoff Finance Holding GmbH raised US$1.2 billion from a convertible bond offering in July‚ the largest equity offering in the region so far this year. Java Capital (Proprietary) Ltd took first place in the first nine months 2015 Sub-Saharan African ECM ranking with a 15% market share.
In terms of debt capital markets performance‚ the total bond issuance in the region during the first nine months of 2015 reached US$10.3 billion‚ down 31% over a year ago. South Africa was the most active nation accounting for almost half (49%) of activity‚ followed by the Ivory Coast with 25%. Deutsche Bank took the top spot in the Sub-Saharan African bond ranking during the first nine months of 2015 with an 18% share of the market.
Sub-Saharan African investment banking fees reach $305.9m in first nine months
Sub-Saharan African investment banking fees reached US$305.9 million during the first nine months of 2015‚ 4% more than the value recorded during the same period of last year‚ the latest Thomson Reuters quarterly investment banking analysis for the region shows.
“The value of announced M& A transactions with any Sub-Saharan African involvement reached US$23.4 billion during the first nine months of 2015‚ 12% more than the value registered during the same period in 2014‚” Sneha Shah‚ Managing Director‚ Africa‚ Thomson Reuters‚ said.
“Sub-Saharan African equity and equity-related issuance totalled US$2.0 billion during the third quarter of 2015‚ a 104% increase in value from the second quarter of the year. Despite the quarterly increase‚ Sub-Saharan African ECM declined 16% year-on-year to reach US$5.4 billion during the first nine months of 2015‚” she noted.
Shah pointed out that Sub-Saharan African debt issuance reached US$2.7 billion during the third quarter of 2015‚ 23% less than the value raised during the previous quarter and the lowest quarterly total since the first quarter of 2014.
In respect to investment banking‚ fees from completed M& A transactions totalled US$116.6 million‚ a 49% increase from the comparative period last year‚ the highest first nine month period since 2011. Fees from debt capital markets underwriting also increased 20% year-on-year to reach US$39.9 million.
Syndicated lending fees fell 22% compared to a year ago to US$60.7 million. Equity capital markets underwriting fees declined 16% to US$88.8 million‚ and accounted for 29% of the overall Sub-Saharan African investment banking fee pool.
Rand Merchant Bank earned the most investment banking fees in Sub-Saharan Africa during the first nine months of 2015‚ a total of US$38.7 million for a 12.6% share of the total fee pool. Rand Merchant Bank topped the completed M& A fee rankings during the first nine months of 2015 and also took the lead for ECM underwriting fees. Citi and Zenith Bank earned first places for DCM underwriting and syndicated loans fees‚ respectively.
As for mergers and acquisitions‚ outbound activity slowed down 34% compared to the first nine months of 2014 to reach US$3.8 billion.
South Africa’s overseas acquisitions accounted for 64% of Sub-Saharan African outbound M& A activity‚ while acquisitions from Mauritius and Seychelles companies accounted for 27% and 6%‚ respectively. Inbound M& A also saw a decline‚ down 6% to US$5.6 billion.
Domestic and inter- Sub-Saharan African M& A reached US$8.3 billion‚ up 39% year-on-year‚ the highest first nine months total since 2010. The Financials industry was the most active sector‚ accounting for 18.5% of
The largest M& A deal with Sub-Saharan African involvement during the first nine months of 2015 was the US$1.8 billion offer from Sonangol EP to acquire a 40% ownership interest in Kwanza Basin Blocks 21/09 20/11‚ producer of crude petroleum and natural gas‚ from Cobalt International Energy Inc.
Rand Merchant Bank topped the First Nine Months 2015 announced any Sub-Saharan African involvement M& A league table with US$4.3 billion.
Speaking about equity capital markets‚ Shah noted that five initial public offerings raised US$173.8 million and accounted for 3% of first nine months activity in the region‚ while follow-on offerings and convertibles accounted for 74% and 23%‚ respectively.
Steinhoff Finance Holding GmbH raised US$1.2 billion from a convertible bond offering in July‚ the largest equity offering in the region so far this year. Java Capital (Proprietary) Ltd took first place in the first nine months 2015 Sub-Saharan African ECM ranking with a 15% market share.
In terms of debt capital markets performance‚ the total bond issuance in the region during the first nine months of 2015 reached US$10.3 billion‚ down 31% over a year ago. South Africa was the most active nation accounting for almost half (49%) of activity‚ followed by the Ivory Coast with 25%. Deutsche Bank took the top spot in the Sub-Saharan African bond ranking during the first nine months of 2015 with an 18% share of the market.
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