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Capricorn Group’s headline earnings per share decrease by 13%

Capricorn Group’s headline earnings per share decrease by 13%

Capricorn Investment Group’s diluted headline earnings per share (HEPS) decreased by 13% while its basic earnings per share (EPS) increased by 0.2%, for the financial year ended 30 June.

Moreover, net interest income increased by 10.3%, largely due to the inclusion of Capricorn Investment Holdings (Botswana) Ltd (CIHB) and Cavmont Capital Holdings Zambia Plc (CCHZ) in the results for a full 12 months.

PSG Konsult Namibia stated that the net interest margin after impairment is also higher at 4.4% than expected, adding that growth in earnings, dividends and normalised growth in gross loans and advances were very much in line with it’s forecasts.

Noting that the company’s outlook/guidance has not seen any change, PSG explained that the Group continues to focus on diversifying its business structure and on digitisation and technological spend.

“Strategic changes were made to the group’s structure as management work on diversifying their business and revenue streams. Cavmont Capital in Zambia (acquired January 2017) continued to post disappointing results, whilst Botswana contributed positively,” PSG stated.

Meanwhile, Bank Windhoek remains the largest contributor to profits after tax for The Group of 86.0% for the current financial year. Capricorn Capital started to operate in the first quarter of 2018 and offers investment banking, advisory services and solutions in Southern Africa. The Group also acquired a controlling interest in Entrepo Holdings, a micro-lending, life insurance and income protection business in Namibia. At financial year end CGP held an 18.3% share in Nimbus Infrastructure Limited, which was increased to 30% shortly after.

“Investors should be unsurprised by the results as CGP’s FY18 figures are very much in line with expectations,” PSG said.


About The Author

Donald Matthys

Donald Matthys has been part of the media fraternity since 2015. He has been working at the Namibia Economist for the past three years mainly covering business, tourism and agriculture. Donald occasionally refers to himself as a theatre maker and has staged two theatre plays so far. Follow him on twitter at @zuleitmatthys

Following reverse listing, public can now acquire shareholding in Paratus Namibia

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20 February 2020, Windhoek, Namibia: Paratus Namibia Holdings (PNH) was founded as Nimbus Infrastructure Limited (“Nimbus”), Namibia’s first Capital Pool Company listed on the Namibian Stock Exchange (“NSX”).

Although targeting an initial capital raising of N$300 million, Nimbus nonetheless managed to secure funding to the value of N$98 million through its CPC listing. With a mandate to invest in ICT infrastructure in sub-Sahara Africa, it concluded management agreements with financial partner Cirrus and technology partner, Paratus Telecommunications (Pty) Ltd (“Paratus Namibia”).

Paratus Namibia Managing Director, Andrew Hall

Its first investment was placed in Paratus Namibia, a fully licensed communications operator in Namibia under regulation of the Communications Regulatory Authority of Namibia (CRAN). Nimbus has since been able to increase its capital asset base to close to N$500 million over the past two years.

In order to streamline further investment and to avoid duplicating potential ICT projects in the market between Nimbus and Paratus Namibia, it was decided to consolidate the operations.

Publishing various circulars to shareholders, Nimbus took up a 100% shareholding stake in Paratus Namibia in 2019 and proceeded to apply to have its name changed to Paratus Namibia Holdings with a consolidated board structure to ensure streamlined operations between the capital holdings and the operational arm of the business.

This transaction was approved by the Competitions Commission as well as CRAN, following all the relevant regulatory approvals as well as the necessary requirements in terms of corporate governance structures.

Paratus Namibia has evolved as a fully comprehensive communications operator in Namibia and operates as the head office of the Paratus Group in Africa. Paratus has established a pan-African footprint with operations in six African countries, being: Angola, Botswana, Mozambique, Namibia, South Africa and Zambia.

The group has achieved many successes over the years of which more recently includes the building of the Trans-Kalahari Fibre (TKF) project, which connects from the West Africa Cable System (WACS) eastward through Namibia to Botswana and onward to Johannesburg. The TKF also extends northward through Zambia to connect to Dar es Salaam in Tanzania, which made Paratus the first operator to connect the west and east coast of Africa under one Autonomous System Number (ASN).

This means that Paratus is now “exporting” internet capacity to landlocked countries such as Zambia, Botswana, the DRC with more countries to be targeted, and through its extensive African network, Paratus is well-positioned to expand the network even further into emerging ICT territories.

PNH as a fully-listed entity on the NSX, is therefore now the 100% shareholder of Paratus Namibia thereby becoming a public company. PNH is ready to invest in the future of the ICT environment in Namibia. The public is therefore invited and welcome to acquire shares in Paratus Namibia Holdings by speaking to a local stockbroker registered with the NSX. The future is bright, and the opportunities are endless.