African Bank to raise R4bn amid consumer credit concern
African Bank Investments, South Africa’s biggest unsecured lender, is set to raise up to R4bn ($406m) through a fully-underwritten rights issue, strengthening its balance sheet as concerns grow around the retail lending market.
Goldman Sachs will underwrite the deal.
African Bank, which has a market capitalisation of around R12.5bn, is set to begin meeting with investors about terms from Tuesday. The deal is set to be approved at a shareholder meeting in early September.After initial weakness in the first half hour ...