Mozambique 7 Oct: Bottom of the market?
Good afternoon. Mozambique’s turbulent economic environment appears to be creating bargains for those willing to bet that things are going to get better. On the day Moza Banco was taken into central bank administration, Nedbank came in for an extra slice of one of Moza’s rivals.
SEE: SA’s Nedbank takes majority stake in Mozambican lender
Another cut-price deal, thanks at least in part to the falling metical, is the management buyout of one of Mozambique’s most successful home-grown companies in recent years. If, as some say, its success was due to political connections, it may have lost significant value since the 2014 elections.
SEE: Listed Mozambican construction co. sold in highly discounted MBO
Xtract Resources confirmed it has decided not to sell its gold mine in Manica, as Zitamar reported last month. The company instead pulled out of its project in Chile, and will now focus on Mozambique.
SEE: Xtract confirms Mozambique gold mine sale is off
For those believing in Mozambique’s bright future, another reminder came with the news that the national oil and gas regulator is pushing ahead with further exploratory surveys.
SEE: Mozambique oil regulator awards geophysical survey contracts
But there was also a reminder of one of the main reasons Mozambique is in the state it is. EMATUM, the troublesome fishing company, is neither fishing nor paying its staff.
SEE: EMATUM workers on strike over unpaid salaries – O Pais
Have a great weekend.
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