Chamwe Kaira
KPMG, the global professional services network, has identified the US$500 million agreement between Namcor and Sonangol E.P as one of the standout deals in Sub-Saharan Africa for the year 2022.
According to a report by KPMG titled “Doing Deals in Sub-Saharan Africa: Key Insights from Dealmakers,” this transaction secured its place among the top ten deals of the year.
In this deal, the National Petroleum Corporation of Namibia and its joint partners, Sequa Petroleum NV, and Petrolog Group, acquired a 10 percent interest in Sonangol E. P’s Block 15/06, a 40% stake in Block 23, and a 35% stake in Block 27, all situated in Angola.
On a local level, the deal had come under scrutiny from government agencies regarding its execution. An investigation by the Anti-Corruption Commission, however, did not uncover any wrongdoing in the course of the deal.
Among the other notable deals mentioned by KPMG were Mediclinic International Plc selling a 55.44 percent stake for US$2.5 billion, Teraco Data Environments of South Africa selling a 55 percent stake for US$1.9 billion, Royal Bafokeng Platinum Limited of South Africa, divesting a 63.36% stake for US$1.7 billion, Mobil Producing Nigeria Unlimited selling a 100 percent stake for US$1.5 billion, Lekela Power Limited of South Africa selling a 100% stake for US$1.5 billion, Lifezone Metals Ltd of Tanzania selling a 100 percent stake for US$878 million, Allianz SE of Nigeria being sold for US$844 million, Guinness Cameroon of Cameroon being sold for US$460 million, and the East African-based Kansai Plascon Africa Limited being sold for US$450 million.
KPMG’s report also noted that the Sub-Saharan Africa mining and utilities sector saw the highest aggregate deal value in 2022, reaching US$7.8 billion. Additionally, this sector recorded the highest deal volume in the region, with 64 deals, matching the total from the previous year.
Sub-Saharan Africa’s rich natural resources continue to be a strong draw for long-term investors.
