Latest news with #AfricanRainbowMinerals
Mail & Guardian
12 hours ago
- Business
- Mail & Guardian
Coal and South Africa's complicity in the genocide in Gaza
Exporting coal to Israel contradicts South Africa's stance on that country's genocide in Gaza. South Africa has rightly earned praise across the world for taking a principled stance against Israel's genocidal assault on Gaza. But we cannot claim the mantle of global moral leadership while continuing to do business as usual with an apartheid regime now engaged in open genocide. Our ongoing export of coal to Israel — an arrangement that materially supports the very war effort we have condemned at The Hague — is a glaring contradiction in our otherwise principled positions. According to two new briefings — one from the Palestinian Youth Movement and another from researchers working to align our foreign policy with our public commitments — South African coal continues to fuel Israel's energy grid, including its military installations, surveillance infrastructure and illegal settlements in the occupied West Bank. Worse still, our role has grown more central since Colombia, formerly Israel's largest supplier, issued a decree in August 2024 banning coal exports to the Israeli state. Colombia has honoured contracts signed before its decree, but it has committed to ending future shipments. South Africa, by contrast, has yet to take any meaningful action. A number of corporates continue to sell South African coal to Israel. Glencore, a company globally notorious for unethical conduct, is the dominant player but others, such as African Rainbow Minerals are also complicit. This raises an urgent question: How can a country that seeks to halt genocide at the International Court of Justice (ICJ) be one of the top energy suppliers to the regime perpetrating that very genocide? The ICJ case, supported by a growing number of Global South countries, has shifted the diplomatic terrain. The South African government has also co-chaired The Hague Group, a new alliance of countries seeking to defend international law against systematic violations in Gaza. These steps matter. But our ports — especially Richards Bay — have remained open to the same coal shipments that sustain Israel's military occupation. Since Israel launched its genocidal assault on Gaza on 7 October 2023, at least 11 coal shipments from South Africa have arrived in Israel, according to vessel-tracking data. These shipments total more than 1.4 million tonnes — about 25% of Israel's coal imports during this period. The majority of these shipments were loaded at Richards Bay and docked at the ports of Hadera and Ashkelon — home to the Orot Rabin and Rutenberg coal-fired power stations. These plants provide about 17.5% of Israel's electricity. Coal has a central role in sustaining both civilian infrastructure and military operations in Israel. That includes electricity powering command centres, settlement expansions in the West Bank and Israel's chilling artificial intelligence systems — algorithms that sort Palestinians by 'suspicion level' and determine targeting for drone strikes. Israel does not produce its own coal. It is entirely dependent on imports to run its coal-fired plants and is, therefore, vulnerable to coordinated boycotts. The Stichting Onderzoek Multinationale Ondernemingen — Centre for Research on Multinational Corporations — has shown that when states supply energy that directly supports illegal occupation or genocide, they are in violation of international law. It explicitly recommends that states 'end the supply of coal to Israel where there is no means of ensuring it does not end up supplying electricity to settlements'. We have no such guarantees. And even if we did, they would be impossible to verify. The only ethical and lawful option is to end coal exports entirely. If South Africa is to retain credibility in its international legal claims, its domestic trade and industrial policy must be consistent with those claims. This is not simply a question of ethics; it is a question of coherence in governance. A state that seeks provisional measures at the ICJ to halt genocide cannot continue to facilitate that same genocide through commodity flows. This contradiction not only undermines South Africa's legal arguments, it also weakens the ability of Global South countries to use international law as a terrain of struggle. There is no neutral trade in the context of genocide. Every shipment of coal exported to Israel either contributes to or withholds material support from a war machine. If we claim to stand with the victims, our policies must withdraw complicity from the perpetrators. Of course, any conversation about South Africa's trade policy must begin with the recognition of the severity of our economic crisis. With nearly half the population unemployed and millions pushed into crushing poverty, the social cost of job losses is devastating. For working-class people and their families, even small disruptions to income can be catastrophic. The crisis of mass unemployment — a structural failure rooted in both apartheid and post-apartheid economic mismanagement — hangs over every policy decision. This is why it's important to approach this issue with care and clarity. Before acting, we need to establish, with precision, whether a coal boycott would lead to any actual job losses. Academic and NGO researchers should work alongside government and trade unions to produce a shared and verified understanding of the scale and scope of South Africa's coal exports to Israel — and what risks, if any, exist for workers should those exports be halted. If there is a real risk to jobs, the next step must be to find alternative markets. This is not an impossible task. South Africa's coal sector is vast and the volume exported to Israel remains a tiny fraction — less than 1.2% of coal exports and just 0.02% of GDP. Redirecting those shipments is a logistical challenge, not an economic impossibility. If there is political will, viable alternatives can be found. This is not about asking workers to carry the cost of a moral position. It's about building the political and practical basis to ensure that our country can act on its principles without deepening the hardship of the poor. The trade union movement has already made this clear. In a powerful statement issued in August 2024, trade union federation Cosatu declared its support for the call on Glencore to stop sending coal to Israel, stating that 'fuelling apartheid and genocide is a crime'. But the federation also rightly called on the government to ensure that a boycott protects jobs. Trade policy in a democratic state is not the exclusive domain of multinational firms or economic ministries. It must be subordinate to the constitutional obligations of the state and to its commitments under international law. South Africa's Constitution affirms the importance of human rights and dignity. Its diplomatic stance affirms the urgency of halting genocide. The question now is whether its trade policy will follow suit. Dr Imraan Buccus is senior research associate at ASRI and a research fellow at the University of the Free State.
Yahoo
09-05-2025
- Business
- Yahoo
Private companies account for 46% of African Rainbow Minerals Limited's (JSE:ARI) ownership, while institutions account for 37%
The considerable ownership by private companies in African Rainbow Minerals indicates that they collectively have a greater say in management and business strategy The top 2 shareholders own 56% of the company Institutions own 37% of African Rainbow Minerals We've discovered 2 warning signs about African Rainbow Minerals. View them for free. If you want to know who really controls African Rainbow Minerals Limited (JSE:ARI), then you'll have to look at the makeup of its share registry. With 46% stake, private companies possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). Meanwhile, institutions make up 37% of the company's shareholders. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. In the chart below, we zoom in on the different ownership groups of African Rainbow Minerals. View our latest analysis for African Rainbow Minerals Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices. We can see that African Rainbow Minerals does have institutional investors; and they hold a good portion of the company's stock. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at African Rainbow Minerals' earnings history below. Of course, the future is what really matters. Hedge funds don't have many shares in African Rainbow Minerals. Looking at our data, we can see that the largest shareholder is African Rainbow Minerals & Exploration Investments (Pty) Ltd. with 46% of shares outstanding. With 11% and 5.3% of the shares outstanding respectively, Public Investment Corporation Limited and Coronation Fund Managers Limited are the second and third largest shareholders. A more detailed study of the shareholder registry showed us that 2 of the top shareholders have a considerable amount of ownership in the company, via their 56% stake. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO. Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances. Our data suggests that insiders own under 1% of African Rainbow Minerals Limited in their own names. However, it's possible that insiders might have an indirect interest through a more complex structure. It's a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case insiders own R217m worth of shares. Arguably, recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling. With a 16% ownership, the general public, mostly comprising of individual investors, have some degree of sway over African Rainbow Minerals. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies. We can see that Private Companies own 46%, of the shares on issue. It's hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company. It's always worth thinking about the different groups who own shares in a company. But to understand African Rainbow Minerals better, we need to consider many other factors. For example, we've discovered 2 warning signs for African Rainbow Minerals that you should be aware of before investing here. Ultimately the future is most important. You can access this free report on analyst forecasts for the company. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
The South African
05-05-2025
- Business
- The South African
ANC insiders pushing Patrice Motsepe for president
A quiet but significant movement is unfolding within the African National Congress (ANC) as senior members reportedly rally behind billionaire businessman Patrice Motsepe to consider a presidential bid at the party's 2027 elective conference. According to reports, some ANC insiders have already drafted campaign materials envisioning Motsepe as President, with Senzo Mchunu as Deputy President and Oscar Mabuyane as Secretary General, indicating that a shadow campaign may be underway. While Motsepe has not publicly expressed political ambitions, his deep ties to the ANC – he is President Cyril Ramaphosa's brother-in-law – and his extensive business credentials make him a compelling figure. As the founder and executive chairman of African Rainbow Minerals, Motsepe has built a diverse empire spanning mining, finance, telecommunications, and sports. He also serves as president of Mamelodi Sundowns and has led the Confederation of African Football since 2021. The ANC's Secretary General, Fikile Mbalula, has issued stern warnings against premature campaigning, emphasising that any member engaging in early leadership contests will face disciplinary action. Nonetheless, speculation persists, with other potential contenders including Deputy President Paul Mashatile and Gauteng Premier Panyaza Lesufi. Motsepe's potential candidacy is seen by some as an opportunity to rejuvenate the ANC's image, offering a leader with a clean public record and proven management skills. His humble beginnings in Ga-Rankuwa, where he learned business fundamentals in his father's spaza shop, resonate with many South Africans. His supporters argue that his corporate governance experience could translate effectively into political leadership. As the ANC prepares for its 56th National Conference in December 2027, the emergence of Motsepe as a potential candidate adds a new dimension to the party's internal dynamics. Whether he chooses to step into the political arena remains to be seen, but the groundwork laid by his supporters suggests that the possibility is being taken seriously within ANC circles. According to the latest Forbes Real Time Billionaires list, Motsepe is the fourth-richest South African with a net worth of $3.1 billion (R56.8 billion). Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
Yahoo
29-03-2025
- Business
- Yahoo
African Rainbow Minerals' (JSE:ARI) Dividend Is Being Reduced To ZAR4.50
The board of African Rainbow Minerals Limited (JSE:ARI) has announced it will be reducing its dividend by 25% from last year's payment of ZAR6.00 on the 7th of April, with shareholders receiving ZAR4.50. The dividend yield of 9.9% is still a nice boost to shareholder returns, despite the cut. The end of cancer? These 15 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's. We like to see robust dividend yields, but that doesn't matter if the payment isn't sustainable. At the time of the last dividend payment, African Rainbow Minerals was paying out a very large proportion of what it was earning and 281% of cash flows. This is certainly a risk factor, as reduced cash flows could force the company to pay a lower dividend. Over the next year, EPS is forecast to expand by 12.3%. If recent patterns in the dividend continues, the payout ratio in 12 months could be 82% which is a bit high but can definitely be sustainable. View our latest analysis for African Rainbow Minerals The company has a long dividend track record, but it doesn't look great with cuts in the past. The dividend has gone from an annual total of ZAR6.00 in 2015 to the most recent total annual payment of ZAR15.00. This works out to be a compound annual growth rate (CAGR) of approximately 9.6% a year over that time. We have seen cuts in the past, so while the growth looks promising we would be a little bit cautious about its track record. Given that the dividend has been cut in the past, we need to check if earnings are growing and if that might lead to stronger dividends in the future. Over the past five years, it looks as though African Rainbow Minerals' EPS has declined at around 5.6% a year. If earnings continue declining, the company may have to make the difficult choice of reducing the dividend or even stopping it completely - the opposite of dividend growth. It's not all bad news though, as the earnings are predicted to rise over the next 12 months - we would just be a bit cautious until this can turn into a longer term trend. In summary, dividends being cut isn't ideal, however it can bring the payment into a more sustainable range. The payments are bit high to be considered sustainable, and the track record isn't the best. We don't think African Rainbow Minerals is a great stock to add to your portfolio if income is your focus. Investors generally tend to favour companies with a consistent, stable dividend policy as opposed to those operating an irregular one. Still, investors need to consider a host of other factors, apart from dividend payments, when analysing a company. For example, we've picked out 1 warning sign for African Rainbow Minerals that investors should know about before committing capital to this stock. Is African Rainbow Minerals not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
11-03-2025
- Business
- Yahoo
African Rainbow Minerals First Half 2025 Earnings: EPS: R7.11 (vs R6.20 in 1H 2024)
Revenue: R5.71b (down 1.9% from 1H 2024). Net income: R1.39b (up 15% from 1H 2024). Profit margin: 24% (up from 21% in 1H 2024). The increase in margin was driven by lower expenses. EPS: R7.11 (up from R6.20 in 1H 2024). All figures shown in the chart above are for the trailing 12 month (TTM) period Looking ahead, revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Metals and Mining industry in South Africa. Performance of the South African Metals and Mining industry. The company's shares are up 7.2% from a week ago. Following the latest earnings results, African Rainbow Minerals may be undervalued based on 6 different valuation benchmarks we assess. To access our thorough examination of analyst consensus click here and discover the expected future direction of the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
