[miningmx.com] – TRANSNET said it had issued a R5bn bond registered with the London Stock Exchange, a development that signalled South Africa was a leading investment destination for emerging market investors, said Brian Molefe, CEO of Transnet.
“It signals increasing investor confidence in South Africa’s economy,” said Molefe who said the funds would be pumped into the state-owned transport utility’s R307.5bn Market Demand Strategy that plans to upgrade coal rail routes, ports and iron ore routes.
The bond, which has a yield of 9.5%, was the first African local currency issuance on international capital markets and supported Transnet’s intention of diversifying its funding mechanisms.
