Eskom has secured R48.8bn in funding, but hasn’t said where from
The further R23.2bn required will come from a variety of sources; it had amassed R399bn in debt by the end of March, according to Bloomberg
Eskom has said it’s secured about R48.8bn of the funding it requires for the financial year ending March 31. Of the remaining R23.2bn, or 32% of the total, R15bn will come from structured products, Eskom said in a statement on Tuesday. A further R4.5bn will come from domestic bonds, including R2.3bn with a duration of less than a year. The balance will come from development finance institutions and export credit agencies, it said. Eskom didn’t immediately respond to a request for further details of the new funding. Eskom — which had amassed R399bn of debt by the end of March, according to data compiled by Bloomberg — has been flagged by ratings companies as a key risk to SA’s economy. The cash-strapped utility sold $1.5bn of eurobonds earlier this month, tapping international markets for the first time in more than three years. Last month, Eskom signed a $2.5bn loan agreement with China Development Bank to go towards construction of the Kusile power station. Bloomberg
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