Bumper listings for firm JSE
Stock gains attract spin-offs and debuts
SA’s main stock exchange may witness the most new listings in at least two years in 2017, helped by a spate of spin-offs as owners look to tap a market trading near record highs. Of the 18 debuts in 2017, six are carved out of other companies, most of which are publicly traded. A further four new arrivals are backed by collections of investment holdings, rather than providing a direct bet on any single business. "It’s simply a function of trying to crystallise value with the high valuations that the companies are seeing," said Grant Cullens, who helps oversee $1.3bn as CEO of African Alliance Asset Management in Johannesburg. "It’s better to do that when the market is up here, rather than when it’s down 200 or 300 points lower." SA’s benchmark stock index gained 0.1% to 58,011.67 by 2pm in Johannesburg on Monday. It has clocked eight records in October, shaking off the restraints of weak economic growth and a divisive leadership contest within the ruling ANC. With the final quarter ...
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